Mobile and broadband firms warned against unfair rises

NEARLY a third of mobile and broadband customers are struggling to pay, as BT and its rivals are warned against inflation-busting price increases.

Ofcom found that the number of customers fighting to meet their phone, internet, pay TV and streaming costs had doubled since last year to a record high of 29pc.

Eight million households are under pressure in the latest sign of the cost-ofliving crisis after inflation soared following the invasion of Ukraine.

The regulator reinforced its calls for telecoms companies to help customers weather the economic tumult.

BT is poised to raise prices by inflation plus 3.9pc from April for new and renewing customers, while Vodafone and O2 have clauses that could hike bills by more than inflation in the spring.

At the Connected Britain Conference last week, Lindsey Fussell, the network and communications director of Ofcom, said she wanted firms to “think very carefully about what is justified during an exceptional period of hardship”.

Ofcom said that households with children, young adults, people receiving benefits and those with disabilities were among those suffering most with the communications bills.

It added that nearly 15pc were being forced to rein in their spending on food and clothing to meet the cost of keeping themselves connected.

The watchdog issued a rallying cry to mobile and broadband operators to pump up their advertising of social tariffs, discounted connection plans for low income households that cost between £10 and £20.

The take-up of those plans has more than doubled in the last six months to 136,000, Ofcom said, but only 3pc of eligible households have signed up.

It means 97pc are failing to grasp savings of £144 per year that would exempt them from mid-contract price rises.

The Telegraph revealed in July that Ofcom was stepping up its review into the billing practices of telecoms companies. Nadine Dorries, the former culture secretary, agreed a package of measures in June with BT, Virgin Media O2, Three UK, Vodafone, Sky and Talktalk that allowed customers to switch to cheaper plans without facing financial penalties.