Ofcom has proposed that firms' contracts must be set out in pounds and pence.
Responding to Ofcom's consultation on the prohibition of inflation-linked price rises, the CMA encouraged Ofcom to consider whether any further action will be needed to protect consumers and promote greater competition in the telecoms sector.
The CMA agreed with Ofcom's assessment that the existing market practice of providers including inflation-linked price variation provisions in their terms and conditions are likely to cause harm to consumers, given the complexity and lack of clarity surrounding these clauses.
The CMA also encouraged Ofcom to ensure providers fully comply with the requirements under the Consumer Protection from Unfair Trading Regulations 2008 when making any changes to their contract prices. The main consideration surrounds consumers being able to make transactional decisions based on full and transparent pricing information.