Are you happy with how much you pay every month for your mobile phone contract? Well, it’s possible you’ll be less pleased very soon, with price hikes on the horizon from four major service operators.
Millions of mobile phone users are expected to be affected by anticipated price hikes to monthly phone contracts over the coming months, with rises taking place in line with the latest inflation figures.
EE has already confirmed its monthly customers will see their bills rise by 4.1 per cent from March 30th.
This means someone on a £29.99 a month contract will see their monthly bill increase by £1.22 – amounting to £14.64 over the course of a year.
O2 customers will be officially informed of a four per cent rise from Monday (February 19th), with the change taking effect from April.
Three has also confirmed its customers can expect a price hike, but has so far refused to say by how much or state a kick-in date.
Finally, Vodafone says all pay monthly contracts taken out after May 4th 2016 will be adjusted in line with the Retail Price Index (RPI).
An EE spokesperson downplayed the price rise, telling the Mirror that customers on their most popular plan will typically see an increase of just 85p a month.
What, how, why?!
Regardless of how meagre the rise may be, many will be wondering how operators can decide – seemingly on a whim – that they want more money from their customers.
However, telecoms firms are allowed to impose mid-contract price rises thanks to a clause in their small print that warns of potential changes in line with the RPI.
It’s something that every monthly customer will have been told about when they took out the contract, but some people just ignore it or tune out.
This is where pay-as-you-go and sim-only deals show their value because they are often contract-free and their inherent flexibility means customers don’t have to stick around.
A spokeswoman for comparison site Broadbandchoices said that committing to a contract for 24 months or longer can be hugely frustrating situation for anyone on a budget.
Cancelling your contract will almost certainly incur a penalty, to the point that you’d be better off financially sticking with your current operator.
However, if your standard monthly bill has increased by more than the Retail Price Index, and not due to tax changes, then you are entitled to cancel your mobile contract without incurring a penalty fee and head elsewhere.