Your broadband bills will skyrocket by as much as 7.9% in the coming weeks. The Office for National Statistics has published the latest UK inflation figures, which are used by the biggest broadband suppliers to calculate annual price rises for existing customers.
If you’re in the minimum contract term of your broadband package, unfortunately, there’s no way to swerve these price increases – you’ll just have to pay the higher bills and try to renegotiate a better deal at the end of your contract.
BT, TalkTalk, Plusnet, EE, Vodafone, Three, and Shell Energy Broadband all rely on the Consumer Price Index (CPI) to calculate their annual price rises. Meanwhile, Virgin Media O2 uses the Retail Price Index (RPI) to figure out how much its customers’ monthly bills will increase.
The latest figures from the Office for National Statistics recorded CPI as 4%, down from 10.5% this time last year, and the RPI as 5.2%, down from 14.4% in early 2023.
Expect to see your monthly broadband bills rise in the coming weeks, thanks to higher-than-expected inflation rates as recorded by the Office of National Statistics
Using these figures, it’s possible to calculate the price rise coming to most BT, TalkTalk, Plusnet, EE, Vodafone, Three, and Shell Energy broadband customers in the coming weeks. The annual price hikes kick-in between March and April, depending on your provider and billing period.
The price rises coming to your broadband bills are as follows…
- BT Broadband | Increases prices by CPI + 3.9% = 7.9%
- Plusnet | Increases prices by CPI + 3.9% = 7.9%
- EE | Increases prices by CPI + 3.9% = 7.9%
- Vodafone | Increases prices by CPI + 3.9% = 7.9%
- Three | Increases prices by CPI + 3.9% = 7.9%
- TalkTalk | Increases prices by CPI + 3.7% = 7.7%
- Shell Energy Broadband | Increases prices by CPI + 3% = 7%
- Virgin Media O2 | Increases prices by RPI as published in February
Sky Broadband sets its annual price rise untethered from inflation rates, which usually falls well below the percentages listed above. We’d expect an announcement to be made by the satellite broadcaster in the coming weeks.
If your broadband bills cost £30 per month, roughly the average cost for Britons, then you can expect prices to increase by £28.44 per year. That’s an extra £2.37 each month.
However, those who are paying higher bills for the fastest speeds – something that’s available to more Britons than ever before thanks to a new milestone in the ongoing plan to upgrade household broadband to gigabit-capable speeds – will need to pay substantially more.
If your monthly bills cost £50, then you’ll face an increase of £3.95 each month – or £47.40 a year.
The silver lining? This could be one of the last times that you’re forced to pay such a hefty increase on your broadband bills each year as industry regulator Ofcom has moved to ban mid-contract price hikes linked to inflation.
Unfortunately, the intervention arrived too late to impact theMarch / April price rises this year.
However, when the changes do roll-out later this year, it could offer dramatically cheaper bills for millions of broadband customers. If you’re struggling with the cost of broadband, it might be worth looking into social tariffs — specific packages designed for Universal Credit recipients that offer decent download speeds at a discounted rate.
We’ve collated the full list of broadband providers that offer social tariffs in the UK, so can switch and save money.
If you’re not a recipient of Universal Credit but are outside of the minimum contract term with your broadband supplier (usually between 12- to 24-months from the moment you signed up for a new deal) then the best way to save money is to renegotiate a new contract or switch to another provider.
Switching between broadband brands that rely on Openreach infrastructure, including BT, Sky, TalkTalk, Plusnet, and EE, is easy. You don’t even need to inform your current provider that you’re looking to switch. Simply sign up for the new deal and the new supplier will contact your previous provider to organise a switchover date so you’re not left without internet for more than a day.
Unfortunately, moving between Openreach-powered connections and separate fibre networks, like the one used by Virgin Media O2, Giganet, and Hyperoptic is a little more onerous and you’ll need to organise the shut-off date yourself. However, that’s set to change with the introduction of new rules from Ofcom in the coming months.