Major mobile providers confirm more inflation-busting price hikes
Annual price rises are coming for most broadband and mobile customers in April after Sky, O2, and Virgin Media confirmed another round of hikes for popular packages.
Major providers use the rate of inflation measured by either the RPI or CPI to calculate price increases that come into effect in early spring.
There was a whopping 17.3% jump last year amid record inflation levels. While that has eased in 2024, the CPI and RPI figures for December and January hover between 4% and 5%.
Providers usually add around four percentage points on top of the inflation rate, so customers will be forking out an extra 8%+.
Broadband and mobile users with BT and EE will see a 7.9% increase from 31 March 2024.
O2’s hikes will be even steeper; pay monthly, and sim-only users will pay 8.8% more from 1 April 2024.
Virgin Media’s broadband, landline and TV users will also see an 8.8% hike on the same day.
The ever-increasing package costs will hit many vulnerable customers who are already struggling to afford the digital connections now central to everyday life.
If you are worried about spiralling bills, there are things you can do.
Shopping around and negotiating for better deals is the best way to cut costs if you are nearing the end of your contract.
The unforeseen hikes are an ongoing problem that Ofcom, the UK telecoms watchdog, is currently investigating.
Ofcom proposed a ban on inflation-linked price rises mid-contract in December and is set to make a final decision on the matter in spring 2024.