Uswitch responds to Virgin Media O2's change to a 'pounds and pence' model for future mid-contract price rises

Ernest Doku, telecoms expert at Uswitch.com comments on Virgin Media O2’s announcement of its new ‘pounds and pence’ approach to mid-contract price rises:

“Virgin Media O2 has just announced the steepest broadband price rises we’ve seen of all providers so far - £3.50 for all broadband customers and £1.80 a month for mobile customers. 

“While Virgin Media O2 references investment and growing demand for data as reasons behind its price rises, with inflation falling significantly since last April, this decision still seems hard to justify. These new increases suggest Virgin Media O2 is taking the Ofcom rule change as an opportunity to make price rises higher than they otherwise would have been from 2025.

“The new flat-rate increases mean that from January 2025, new or re-contracting Virgin Media customers taking a cheaper broadband package at £25 a month would see a price increase of 14% each year. Customers on a mobile deal at £15 a month would see an increase of 12% annually. 

“If your contract ends before April 2025, it’s always worth shopping around for your next broadband and mobile deal. It only takes a few minutes to compare and see what else is out there, as many smaller providers such as Hyperoptic for broadband and SMARTY for mobiles, don’t raise prices mid-contract.”