Cut-priced connection
BROADBAND SOCIAL TARIFFS
THE COST of pretty much everything is rocketing right now – and broadband is no exception.
It is now seen as an everyday essential but with prices rising by almost 10 per cent this year, the poorest households may be wondering if they can live without it. But now there is a cheaper option – social tariffs.
BT has hiked its prices by 9.3 per cent for all customers who signed up after August 31, 2020, while EE broadband jumped by 9.3 per cent in March and Vodafone by 8.2 per cent in April.
Sky Broadband customers saw monthly charges jump by up to £2.50, with its Essential internet package costing £27.50 and its Superfast package £30.50.
Virgin customers with broadband,tv and home phone deals suffered an average price increase of £56 a year in March, while this month Talktalk hiked prices for its broadband and phone users by 9.1 per cent.
Broadband providers say they are passing on increased costs and investment in the infrastructure.whatever reasons they give, the price rises hurt.
Yet millions on low incomes could cut their broadband bill, as a social tariff offers cheaper broadband to customers on benefits. Many are missing out because they do not know they exist.a large
number of them are pensioners, who rely on the internet to stay connected with family and friends, but are struggling to fund their connection on low pensions.
Last week, Sky joined BT, G.network, Hyperoptic, KCOM and Virgin Media O2 in offering discounted deals for lowincome customers, by launching its Sky Broadband Basics package.
At the same time, NOW Broadband, which is owned by Sky, launched NOW Broadband Basics, for customers who need financial assistance to stay connected. In both cases, these cut the cost from £25 to £20 a month.
Typically, to qualify you must be receiving either Universal Credit or Pension Credit, a means-tested state pension top-up for the poorest pensioners.you may have to provide evidence when you apply. Both the Sky and NOW packages are only available to the companies’ existing broadband customers, who must actively get in touch to switch over.
Many do not know social tariffs exist. In February, regulator Ofcom reported that just 55,000 out of around 4.2 million eligible households had signed up.
Its network and communications group director Lindsey Fussell welcomed Sky’s move but called on broadband firms to do more to support customers suffering financial hardship.
“We want to see all providers step up and offer these packages, and promote them more widely,” she said.
While Sky and NOW customers will save £5 a month, or £60 a year, by switching to their social tariffs, Ofcom calculates that the average saving from switching is much higher at £144 a year. One reason is that other providers offer even cheaper social tariffs.
BT Home Essentials, G.network Essential Fibre Broadband, Hyperoptic Fair Fibre 50 andvirgin Media Essential Broadband charge £15 a month.
London-based Community Provider charges £10 a month but only operates in the Croydon area and has slower speed.
Which? head of home products and services Natalie Hitchins called for more options: “We would encourage any providers who don’t currently offer social tariffs to consider whether they can offer further support to their most financially vulnerable customers.”
If you are struggling to stay online, contact your broadband provider to see whether it offers a social tariff and will allow you to switch.