Mobiles to be unlocked for free as phone giants cave in

MOBILE phone giants have bowed to Government pressure and agreed to scrap fees for unlocking handsets in a move expected to save consumers £48million a year.

Customers had previously been forced to pay as much as £20 to unlock a mobile phone so it could be used on a different network. Charges have previously been levied on pay monthly customers when they came to the end of their initial contract period.

The firms have now agreed to scrap all such fees after the Government threatened to introduce laws to outlaw the charges if the phone companies failed to act voluntarily.

The deal will make it easier and cheaper for customers to switch mobile phone contracts while keeping their handsets and will help travellers switch to cheaper local providers when abroad in order to save on expensive roaming charges.

The practice of charging to unlock phones costs consumers £48million a year, according to price comparison firm USwitch.

The Government, which said last year in its Autumn Statement that it wanted the charges to be ditched, said most mobile phone providers would be expected to issue unlock codes within three days – compared with the current wait of up to 30 days.

Culture Secretary Karen Bradley said: ‘We were clear that we wanted to see the unfair practice of charging to unlock handsets for customers scrapped and we’ve worked with all the major providers to make it happen.

‘This will save consumers a substantial amount of money and make it even easier to switch provider to get a better deal.’

The Government said the changes should allow holidaymakers to use cheaper local SIM cards when travelling abroad and will also make it easier for those who buy a second-hand phone.

Ministers wrote to major phone network bosses earlier this year explaining their concerns.