- Broadband contracts are set to increase again, as BT, EE, TalkTalk, Plusnet and Vodafone will apply the same £3 per month blanket mid-contract price rise to their broadband plans, kicking in from April 2025
- Once all customers are under these terms, providers would gain up to £497 million[1] each year, with new increases likely to be higher than inflation
- Broadband customers with contracts ending before April 2025 are encouraged to shop around to avoid overpaying
Many broadband customers are set to see bills increase by even more next year, thanks to some providers’ new ‘flat-rate’ approach to mid-contract price rises.
Almost all BT, EE, TalkTalk, Plusnet and Vodafone broadband bills will end up with yearly increases of £36, costing new and re-contracting customers up to £497 million[1] next year - an additional £62 million on average compared to April 2024’s price rises[2].
Analysis by Uswitch.com, suggests that the £3 monthly blanket rise being applied to price rises by EE, BT, Plusnet, Vodafone, and TalkTalk is approximately the equivalent of a 9% increase on the average bill each year[3], and as much as a 13.6% increase for those on the cheapest plans[4].
The changes to mid-contract price rises have been brought in ahead of new rules from Ofcom banning providers from linking their cost increases to inflation, which customers cannot know in advance. The ‘pounds and pence’ model is designed to make cost increases more transparent, allowing consumers to manage their finances better.
The average cost of a broadband contract across TalkTalk, BT, EE, Vodafone and Plusnet is currently £33.35[5] a month, meaning households under the new arrangement will be effectively paying more than the equivalent of an extra month when their prices rise next April.
This is despite inflation falling significantly since last April, suggesting some providers are taking the opportunity following Ofcom’s new rules to make price rises higher than they otherwise would be in 2025.
Table 1: Amount the average TalkTalk, BT, EE, Vodafone and Plusnet yearly broadband bill will cost in 2025 compared to what they would have cost based on July’s CPI rate (2.2%) + 3.9%[5]
| Provider | Average yearly broadband contract cost | New yearly cost under new rules after 2025 price rise | New yearly cost if rises were based on current CPI rate (2.2%) + 3.9% (+3.7 for TalkTalk) |
|---|---|---|---|
| Vodafone | £308.04 | £344.04 | £326.78 |
| Plusnet | £415.08 | £451.08 | £440.40 |
| TalkTalk | £387.96 | £423.96 | £410.76 |
| EE | £433.92 | £469.92 | £460.32 |
| BT | £455.88 | £491.88 | £483.72 |
EE, BT, Vodafone, Plusnet, and TalkTalk’s £3 price increases will apply for new or re-contracting customers.
Some customers have already received emails from Vodafone and BT/EE with offers to renew early or switch to a new plan[7]. While it may seem like a good deal, customers will have to consider if it’s worth it to accept the £3 monthly price increase come April 2025 earlier than they might have otherwise been subject to it.
Richard Neudegg, director of regulation at Uswitch.com, comments: “While Ofcom’s incoming ban on inflation-linked price increases is a big improvement for transparency - the blanket £3 monthly increase some providers are choosing is a disappointing development.
“Customers might find it fishy that many providers have all chosen the same £3 per month figure, which when applied to the average broadband bill will be an even bigger price increase than seen this April.
“The new rules are designed to provide consumers with greater clarity. But the flat-rate approach risks being seen as a way to increase prices even more under the guise of making changes in the consumer’s best interests.
“We’re still to see one of the UK’s biggest broadband providers, Virgin Media, announce the approach it will take following the rule change. We encourage Virgin Media and other providers applying mid-contract price rises to consider other options such as shorter contracts at a guaranteed fixed price, or at least considering tiered options that relate to the level of package customers choose.
“If your contract ends before April 2025, it’s always worth shopping around for your next broadband deal. It only takes a few minutes to compare and see what else is out there, as many smaller broadband providers such as Hyperoptic and Trooli, don’t raise prices mid-contract.”
Check out the latest broadband deals at Uswitch.com
ENDS
Notes to editors
- Calculation: £36 x the number of TalkTalk customers (2,400,000), BT customers including Plusnet and EE (10,000,000) and Vodafone customers (1,427,000), if all customers were to re-contract under new terms
- Calculation: The average monthly cost of a broadband contract across TalkTalk, Plusnet, BT, EE and Vodafone plus £3 is £36.35. The average monthly broadband cost + the average inflation-linked price rise of 7.86% is £35.97. This is an increase of 38p a month and £4.54 a year. £4.54 x the number of BT, EE and Vodafone customers = £62,822,532. Correct as of August 2024.
- Calculation: The average monthly contract cost on Uswitch.com for TalkTalk, Plusnet, BT, E E and Vodafone broadband customers is £3 divided by £33.35 x 100 = 9%.
- The cheapest broadband contract available is Vodafone Fibre 1 at £22 per month, a £3 per month price increase is 13.6%
- Calculation based on the average cost of a monthly broadband package (excluding TV) across EE, TalkTalk, BT, Vodafone and Plusnet. Correct as of August 2024.
- Average costs based on broadband deals available across EE, TalkTalk BT Vodafone and Plusnet, excluding TV packages. Current CPI % is calculated based on July 2025 CPI of 2.2% + 3.9% (3.7% for TalkTalk) which is the formula used this year.
- Email from a Vodafone customer, whose contract is set to end in January 2025, with a renewal offer and an email from a BT customer with the offer to switch to an EE plan.
For more information
Harriet Atkinson | Telecoms PR Manager
harriet.atkinson@rvu.co.uk
Twitter: @UswitchPR
About Uswitch
Uswitch is one of the UK’s top comparison websites for home services switching, including energy, broadband and mobiles.
More people go to Uswitch to find their energy, broadband and mobile deals than any other site, and we have saved consumers over £2.7 billion off their bills since we launched in September 2000.
Free mobile app Utrack also helps households manage their home energy usage and make potential savings.
Uswitch is part of RVU, a group of online brands with a mission to empower consumers to make more confident home services, insurance and financial decisions.