Ofcom – ADR Schemes

This week, I wanted to check & investigate who can approach and use an Ofcom approved ADR Scheme (specifically with regards mobile contracts)

It took a while to sift through the various web pages and get my head around it but, on Ofcom’s webpage (https://www.ofcom.org.uk/phones-and-broadband/accessibility/rules-for-providers) under the heading ‘Handling complaints and alternative dispute resolution’ we read:

“Any provider that offers services to individuals, small businesses (with up to 10 employees) and not-for-profit organisations (where up to 10 individuals work, not including volunteers) must:

  • Have and comply with complaints procedures that meet certain minimum standards, as set out in the annex to General Condition C4 called ‘Ofcom approved complaints code of practice for customer service and complaints handling’; and
  • Belong to an alternative dispute resolution (ADR) scheme, which customers can use free-of-charge.”

So, this would suggest that only those businesses mentioned above would have their unresolved complaints investigated by, one of the two, ADR Schemes:

  • Individuals (also known as consumers who use services for non-business-related reasons)
  • Small Businesses (10 employees of less)
  • Not-for-profit Organisations (again 10 employees or less & Volunteers are excluded from the count)

So, if you’re not in one of the 3 categories above, it’s more important than ever to check what terms & conditions are being applied to you and it’s up to you to decide if that’s fair or unreasonable. If problems arise later, you’ll not have the option to approach an ADR Scheme, rather you’d be expected to go via the traditional court system.

Ofcom are there to make sure the masses are treated fairly & are able to (as easily as possible) take their unresolved complaints to an impartial party. This avoids the court system and can help overturn ‘unreasonable terms’ in contracts and get a fair resolution for the end customer instead.

Providers make sure their terms & conditions are watertight, but Ofcom recognise that they aren’t always ‘fair’ even though they are perhaps lawful.

It’s not just the telecom sector that has ADR Schemes either, you’ll find alternate dispute resolution schemes within the utility, transport, aviation and gambling sectors (to name a few!)

The General Process

So, you fit into the right category and you’ve been treated badly – what do you do? You can’t just contact the relevant ADR Scheme right away (they would be inundated with complaints no doubt!) Ofcom have put in place rules that providers much follow to ensure there is a proper complaints process, that’s not only understandable, but easy to follow for everyone.

The specific rules (if you’re interested like me!) are found in General Condition C4: complaints handling and dispute resolution section. It reads:

“ensures that all communications providers handle complaints they receive from their customers in accordance with certain minimum procedural standards. This condition requires communications providers to ensure that their complaints handling procedures are accessible to customers, including those who are disabled and those who are in circumstances that may make them vulnerable, and to set out their complaints handling procedures in a code of practice. This condition also requires communications providers to be members of an independent alternative dispute scheme and to comply with the decisions of that scheme”

Now the C4 section is large (across 7 pages) but it’s imperative that providers abide. Should a case be raised with an ADR Scheme and the provider is found lacking, it will only strengthen the case for the end user.

Simplified, the process is:

  • You raise a complaint with your provider
  • A solution must be offered within 6 weeks (prior to 8th April 2026 it was 8 weeks)
    • Within 28 days of an offered solution you must either:
      • Accept the offer and the complaint is closed (no ADR involvement)
      • Reject the offer. This means you can take your unresolved complaint to an ADR Scheme at the 6 week mark (your provider must give you information on how to take your issue to an ADR Scheme, this is usually in the form of a “deadlock letter”)

If you give no response after 28 days (and there isn’t a good reason for this). Your provider may not be under obligation to do what they have offered and can usually close the complaint.

What can I get?

So, you’ve decided to go via the ADR Scheme with an unresolved complaint. What’s the likely outcome? I’ll use our ADR Provider as an example, on their website (https://www.cedr.com/consumer/cisas) within the FAQ (near the bottom) we see some really useful information, specifically within the Guidance section and the question “How much can I claim?” it states (correct as of 24th October 2025):

“The maximum sum which an adjudicator may award you is £10,000.00. Please note that this sum includes compensation, refunds, credits and waivers.

However, please note that for inconvenience and distress, we use the below guide:

Tiers of inconvenience and distress (correct as of 1st Nov 2025)

  • Tier 1: moderate – £0 – £50
  • Tier 2: significant – £50 – £100
  • Tier 3: serious – £100 – £200
  • Tier 4: very serious – £200 or more

Whilst the maximum claim cannot exceed £10,000, for the element of inconvenience and distress, our adjudicators typically do not award more than £100 to £200 in total.

When seeking a monetary amount, you should clear and specific in how you have reached the outcome sought.”

So, if your provider is offering anything up to £200 as compensation or goodwill, you might want to consider taking it. Even if they are refusing to give you anything but an apology – check the terms and conditions and consider them with no emotions attached and ask yourself “are they still fair”

A Personal Story

Personally, I’ve managed to get over £200 in early termination fees overturned direct from a provider using the tips from my own research and the fact that I’ve been in the industry now for over 10 years. It was in regards to my grandad. If you want to know the story, please do read on!

He’d popped out one day and noticed his network provider within his local supermarket. He popped over to ask why his phone was “slow at making calls”. (his mate had recently bought him a 2G device, replacing his better 4G one would you believe it) Now I’m not sure what conversation was had (my grandad forgot this encounter ever happened!) but the person sold my grandad a new 25GB SIM Only tariff for about £20 over a 24 Month contract. Now my grandad doesn’t even own a smartphone (it was 2GB button flip phone at the time), let alone his obvious age & vulnerability. (Side note, his current tariff was a 1GB SIM Only one that he’d had for the last 5 years, with no overuse, ever) This all came to light when my nan went into hospital and wanted help understanding her bank statement. My grandad had asked me why his phone was slow and we swapped him back to his old (but better) phone, not long after the supermarket encounter but none of us knew this sale had happened until after I’d raised a complaint about the excessive charges, mostly because my grandad didn’t actually know or understand that he was being sold to.

So, in conclusion, keep vigilant, read the terms and conditions (no matter what category of customer you are) and stick to your guns if you think something’s not right.. Most providers want to avoid a complaint being raised with their ADR Scheme provider so if they know you’re likely to escalate, they will more than likely prefer to resolve themselves.

Speak to us!

If you are a business owner who’s thinking about switching providers because your tired of slow and unresponsive customer service (but the network you use is pretty perfect) – get in touch today! We offer all major networks under one roof, so you can benefit by continuing to use the networks you know and love but have the customer service and management from a small dedicated team – we’re here for you!