HC Deb 28 January 1987 vol 109 cc326-7
6. Mr. McCrindle

asked the Secretary of State for Trade and Industry if he has received any representations from consumer organisations concerning the level of charges imposed by hotels for the use of telephones by hotel guests.

Mr. Butcher

No, Sir.

Mr. McCrindle

Is it not disgraceful that some leading British hotels are applying mark-ups of anything up to 300 per cent. on direct dialled telephone calls? Does my hon. Friend agree that that must act as a deterrent to foreign visitors, not least Americans, since the practice is much less widespread in America? Will he join me in suggesting to visitors that they should ask for a list of the charges before making calls and, if the charges appear to be unreasonable, they should consider using a public telephone box?

Mr. Butcher

Not only do I agree with my hon. Friend. but am glad to say that the British Hotels, Restaurants and Caterers Association, to which most sizeable hotels belong, recommends that where a charge is made it should be clearly stated in the hotel tariff. In order to ensure that hotel clients are better informed about the level of telephone charges, the hotel industry's voluntary code of booking practice introduced a provision in 1985 requiring hotels that make additional charges on telephone calls to state in writing on a card alongside each telephone the Fact that such charges are made. I shall draw my hon. Friend's other comments to the attention of my hon. Friend the Under-Secretary of State for Employment.

Mr. Butterfill

Is my hon. Friend aware that similar mark-ups on telephone charges are made by private hospitals and nursing homes?

Mr. Butcher

It is for the establishment to decide whether that is a deterrent to future customer loyalty.

Mr. Waller

For consumer choice to operate, does my hon. Friend agree that it is vital that adequate information should be made available to consumers such as hotel guests? As mark-ups on telephone charges in British hotels seem to be so much higher than in almost every other country, would it not be right to insist, through the introduction of legislation if necessary, that hotels should publish a list of their charges and end a justifiable cause of dissatisfaction?

Mr. Butcher

As I have said, there is a voluntary code of practice that recommends that sort of procedure. I shall draw my hon. Friend's comments to the attention of our hon. Friend the Under-Secretary of State for Employment.