Net a cheaper contract
BROADBAND and mobile phones are no longer a luxury but an essential part of daily life and just like so many other basic necessities, prices are rocketing.
Broadband customers face increases of up to 17.3 per cent from April, far above the current inflation rate.this applies to customers in the middle of a contract, with the rise often coming as a shock.
More than a third of broadband users do not know whether they will be stung by an inflation-busting, mid-contract increase and nearly half say they cannot afford it, research from Zen Internet says.
Consumers are partly to blame as less than one in six read the small print of their contract but Zen chief executive
Paul Stobart, said: “Providers must be more transparent about mid-contract price rises, especially when everyone is already struggling with household bills.”
Switching broadband supplier may seem bothersome but it is worth the effort, figures from Comparethemarket suggest. One in three people have cut their costs by switching, with the average saving around £188, the site’s digital expert Liamwalker said.
Keep an eye out for exclusive deals. For example, using Comparethemarket to switch allows you to get Sky Superfast broadband for £25 per month, plus a £100 gift card.the catch is that most
broadband providers penalise customers who want to switch mid-contract, according to comparison site Uswitch, which has been campaigning for change.
However, seven million Sky and Virgin Media broadband customers can escape April’s price hikes if they act fast.
Sky andvirgin give them 30 days to switch supplier penalty free after receiving their price rise notification. Other suppliers do not offer this option.
If signing a new deal this month, check whether you will face a near-instant rate hike in April. Vodafone, Talktalk, Virgin and Shell have confirmed that customers signing up in March will not face a rate hike in April, although they will in 2024.
Some 11 million broadband customers are out of contract and free to switch to avoid April’s price hikes, said Uswitch telecoms expert Ernest Doku: “Explore your options by comparing your price, data and speed with what’s out there.”
Some smaller or local providers, including Hyperoptic, Cuckoo and Zen, pledge not to hike prices mid-contract.
Doku said even if your provider charges a penalty for switching, it may be worth paying if you save money over the term of your new contract.
Those on low incomes and state benefits should see if they are eligible for social tariffs designed to ensure everyone has access to broadband. Doku added: “EE, Virgin and Vodafone offer connectivity from £12 a month with no set-up fees or mid-contract price increases.”
Mobile charges are also rising with millions starting to receive letters, texts or emails confirming mid-contract hikes.
Check for get-rounds, for example, Tesco Mobile customers whose contract ended before February 1 can avoid April’s hikes by upgrading to any Tesco Mobile plan before March 27 or a Clubcard Price plan on or after that date, Doku said.
When comparing mobile deals, check monthly data as many people pay for more mobile data than they actually use.
Check how much it would cost to leave your current contract by texting INFO to 85075. You will receive a message confirming if you have to pay exit fees to leave your provider. If out of contract, switching to a Sim-only mobile could save up to £321 a year, Doku said.
If you do find a better broadband or mobile deal, tell your existing provider before switching, said Hargreaves Lansdown’s senior financial analyst,
Sarah Coles: “Then ask them to match or beat their rival’s deal. It often works.”