Under the powers the Director General of Telecommunications can order the disconnection of the service when the operator ignores a termination request from the Independent Committee for the Supervision of Standards of Telephone Information Services (ICSTIS), an industry-funded watchdog for all premium rate charged telecommunications services. ICSTIS regulates the content and promotion of services through its own Code of Practice, and has the power to fine companies or bar access to their lines if the Code is breached.
The new powers apply to premium rate services promoted on 090 phone numbers from fixed and mobile phones as well as premium text messages.
Typical scams involve sending an unsolicited text message inviting the user to call an 090 number to order a free handset upgrade. When the number is called, the user gets what sounds like an engaged tone. In fact, the call has connected to a recording of an engaged tone. The user is charged but is also likely to redial the number.
Calls to 090 numbers can vary in cost from 10 pence per call to £1.50 per minute. According to Oftel, approximately 20,000 services are in operation at any one time, generating estimated revenue of £590 million in 2001.