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Consumer groups have accused broadcasters of deliberately offering lacklustre basic packages with extra costs for necessary equipment or a couple extra channels to discourage people from buying the cheaper service.

Big players with licences slated to expire at the end of August, including Telus Inc. and Rogers Communications Inc., confirmed they complied with the request as a standard part of meeting the CRTC’s requirements.

The CRTC wants to wants to know how many new subscribers chose basic versus premium packages, how many switched and how many complained about the new offerings in a bid to ensure companies are following the spirit of the new rules.

“A lot of people complained they’re not getting what we promised,” CRTC spokeswoman Patricia Valladao said in an interview, cautioning that the CRTC gets a high volume of complaints for any big change. The regulator is monitoring the industry and “won’t hesitate to take action” for non-compliance, Valladao said.

As of mid-April only 66,000 subscribers had opted for skinny packages, according to the CRTC – a mere fraction of the approximately 11.6 million broadcast subscribers in Canada.

Uptake may be small, but Telus, Rogers and Bell Canada all extolled the virtues of their cheaper packages for customers on tighter budgets.

According to Bell spokesman Jason Laszlo, the CRTC has only received seven specific complaints about its package. He also defended the service against one of the big complaints – it doesn’t offer bundle discounts – stating it’s common practice not to offer discounts on budget products.

Bell and Telus both reported increases in TV subscribers in the first quarter of 2016, while Rogers reported a slight drop.

Financial Post

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