Oral Answers to Questions Debate

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Department: Department for Education

Oral Answers to Questions

Nigel Mills Excerpts
Thursday 16th October 2014

(10 years, 2 months ago)

Commons Chamber
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The Secretary of State for Culture, Media and Sport was asked—
Nigel Mills Portrait Nigel Mills (Amber Valley) (Con)
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1. What assessment he has made of the effectiveness of competition in the mobile network operators’ market.

Lord Vaizey of Didcot Portrait The Minister of State, Department for Culture, Media and Sport (Mr Edward Vaizey)
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Mr Speaker, may I begin by apologising for the fact that the Secretary of State cannot be here for questions? I trust that you were appropriately informed: he is on a trip representing the Government in India.

It is for Ofcom to assess competition in the mobile communications market, and I am pleased to tell my hon. Friend that it has found the UK mobile market to be one of the most open and competitive in the world.

Nigel Mills Portrait Nigel Mills
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I thank the Minister for his answer, but he will know of the recent decisions by the big networks to bring their retailing in-house so that they can keep more of the profits, resulting in the closure of Phones 4u. These decisions risk reducing customer choice and raising prices. Is it not time to ask Ofcom to look at this again before we lose all our retail competitors and end up with a mobile phone market as rigged as the energy market?

Lord Vaizey of Didcot Portrait Mr Vaizey
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It is not appropriate for me to comment on the commercial issues surrounding the decision of the owners of Phones 4u to put the company into receivership, but it is possible to purchase mobile phones not just through the operators’ shops but on the high street and from online outlets; and mobile virtual network operators are also providing a great deal of competition.