Call for a better deal
Capitalise on clearer bills from phone and broadband providers, says Paul Lewis.
You may have noticed your mobile or broadband bill is much clearer now than it used to be. That is because firms that provide mobile, landline, broadband or Pay TV services have been banned from raising prices mid-contract by a percentage. Instead, bills must state clearly in pounds and pence by how much, and when, your monthly charge will rise. The change was imposed by the regulator Ofcom and began last month.
In recent years, many telecoms companies included price rises in their contracts that were linked to inflation – for example, the rise in the Retail Prices Index plus 3.9%. Customers could not know how much their bills would rise – except it would be far more than inflation!
Now, contracts must be much clearer. For example, it might say your monthly price is £30 until 31 March, then it will increase to £31.50 on 1 April 2025 and to £33 on 1 April 2026. Regardless of price rises, you can be charged an exit penalty if you leave the contract early.
If firms do not put future prices clearly in the contract, they can still raise them during the contract period. But if they do, they must give customers 30 days’ notice of any increase and clearly state that they can leave the contract without paying a penalty.
You can find out if there will be a penalty if you leave your contract by texting 85075 with the word “INFO”. You’ll get back a long message trying to persuade you not to leave, but it will start by saying what the “termination fee” (as they call it) will be. If it says £0, then you’re free to leave without one.
Every day around 25,000 people come to the end of their contract and may find they then pay more than they need to. Your provider must inform you as that time approaches, but it may not find you a better deal. You should call or email the firm directly to ask for one. But to find the cheapest option, it may be better to go to a comparison website and find a new deal there.
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It’s now very easy to change your mobile provider and, of course, you can keep your phone and the same number.