Telecoms providers to generate £488m from next round of price hikes

Based on research from Which?, 8.4 million UK households are currently in a broadband contract that’ll be subject to inflation linked mid-contract prices rises next year, with broadband customers set to pay an estimated extra £221m to providers. 

Meanwhile, 13.7 million adults are currently in a mobile contract that allows for an inflation-linked mid-contract price rise, which will see providers in this space generate an estimated £267m once prices have increased next April. Inflation-linked mid-contract price rises is something the consumer rights group is calling on industry regulator Ofcom to ban. 

Which?’s director of policy and advocacy Rocio Concha said: “It’s absolutely unacceptable that during the most severe cost of living crisis in decades, telecoms companies stand to make almost half a billion pounds from next year’s mid-contract price hikes. 

“From working and school to online banking and access to information, a good broadband and mobile connection is essential to everyday life. 

“That’s why Which? is calling on Ofcom to ban these unpredictable mid-contract price hikes and give people certainty about exactly how much their contract will cost when they sign up.”