Committee chairman Edward Leigh

Telecoms regulator Ofcom should actively encourage customers to switch suppliers and save money, an influential committee of MPs has claimed.

In its report published on Tuesday, the Commons public accounts committee concluded that many were unaware of the savings available through moving from BT or changing tariff.

The market is too confusing for customers, with few having the right information to assess which is the best deal for them, the MPs added.

Chairman of the committee and Conservative MP for Gainsborough Edward Leigh argued that it was "unacceptable" that, 20 years after privatisation, BT still retains 70 per cent of the total market and 75 per cent of the domestic market.

"There is no doubt that consumers find the telecommunications market confusing and need more help to make properly informed choices," he said.

"But [the regulator] is remote from consumers and spends only a tiny slice of its budget on external publicity.

"[The regulator] must back up its claims to place the consumer at the heart of its work by disseminating guidance on how to identify the best supplier and drawing public attention to the savings available from switching."