Broadband prices from top companies such as BT, Virgin, and EE are set to increase on April 1st, even for customers in the midst of their contracts, according to a report from Wales Online. The impending rise in prices may catch many consumers off guard as they may not be aware of the potential hike in their monthly bills. The increases are said to be in line with inflation rates or may be set at a fixed price by the providers. This move comes as a result of combating inflation rates and increasing business costs faced by these companies. Despite being on a fixed-price tariff, consumers can still expect their broadband bills to rise, potentially in March or April every year.
Uswitch, a comparison site, highlighted that most broadband and mobile providers have clauses in their terms and conditions that allow for annual price hikes, even for customers in the midst of their contracts. Although Ofcom banned inflation-linked price increases in new contracts starting January this year, providers have introduced fixed annual price increases in pounds and pence at the time of signing up. While some customers might be shielded from mid-contract price hikes by providers that maintain fixed prices until the contract expires, such deals are more common with smaller providers than big industry names.
To determine if your broadband plan includes a fixed annual price increase, you should check when you signed up for the service. Customers who signed up for new broadband contracts from specific dates in 2024 and 2025 will likely be subject to fixed price increases, as outlined by Uswitch. Major providers like BT, EE, Plusnet, Vodafone, and TalkTalk have implemented these changes for contracts initiated on specified dates. The fixed rate increases for most broadband providers are around £3 per month, with Virgin Media’s increase slightly higher at £3.50. In contrast, inflation-based price rises may range from three to four percent.
For consumers on a broadband social tariff or receiving government financial support such as Universal Credit or PIP, they may be exempt from these price hikes. Such customers are eligible for discounted deals without price rises. Additionally, some broadband providers have publicly stated that they will not be raising their prices mid-contract. These include companies like Hyperoptic, Trooli, Quickline, Fiber Zone, and others listed on the Uswitch platform. Moving forward, customers should be aware of these changes to stay informed about the cost of their broadband services and possibly seek more affordable options available in the market.
The upcoming broadband price hikes signal a shift in the industry landscape, potentially impacting millions of consumers across the UK. This move by major providers to raise prices, despite customers being in the middle of their contracts, underscores the importance of staying informed and regularly reviewing broadband deals to ensure competitive pricing. As the cost of living continues to rise, households are advised to explore all available options to manage their expenses effectively and make informed decisions regarding their broadband services.