ISP Plusnet Set to Increase UK Broadband and Phone Prices

Budget UK ISP Plusnet has recently announced another round of annual price rises on their broadband and phone services, which are set to be introduced just before Christmas on 3rd December 2019. On that same day the provider will also withdraw their old “broadband without line rental” packages from sale for new customers.

The new increases will NOT apply to existing customers who entered into fixed price contracts after 8th August 2018 or Line Rental Saver customers (annual pre-paid line rental), at least it won’t until their fixed price contract expires or they change product and then the new prices will apply.

Overall most of the changes reflect increases in per minute call charges, although the standard monthly cost of phone line rental will also increase by +£1 to £19.99 (Line Rental Saver will increase proportional to this) and the provider’s “broadband without line rental” packages (i.e. you take the phone service from a different provider and just broadband from Plusnet) will be hiked by +£2 extra per month across the board.

On top of that all of Plusnet’s optional calling add-ons (e.g. free Evening and Weekend, Anytime calls etc.) will increase by an extra +£1 per month.

Plusnet Statement

“We’re constantly looking to make improvements to our products and the services we offer you. This year that included things like a new way of billing, updates to our Member Centre and better rewards through My Perks.

These pricing changes will see us invest even more into giving you the broadband and phone services you deserve.”

The remark about a “new way of billing” is likely to go down like a lead brick given all of the billing problems that the ISP has suffered since they migrated to a new platform. Otherwise price rises are rarely popular, although they’re common among all of the largest providers because they’re frequently adding all sorts of new services, developing new systems and consumers are also gobbling significantly more data.

On top of that the big ISPs are also under pressure to adopt all sorts of new rules, such as having to cater for the hugely expensive new system of automatic compensation (here) and Ofcom’s revised broadband speed code of practice (here).

The good news is that none of the above changes affect the standard monthly charges on Plusnet’s newer fixed price plans and those customers can choose whether to stay or go at the end of their term. The ISP intends to send an end-of-contract notification letter, which should include details of an alternative offer, although at that point you can also try a bit of haggling (Retentions – Tips for Cutting Your Broadband Bill).

Finally, Plusnet’s decision to scrap their old “broadband without line rental” plans shouldn’t come as a huge surprise. Today most ISPs tend to bundle the cost of phone line rental and broadband together into a single package, while the future move toward broadband-only lines (i.e. phone calls will optionally come via VoIP) is set to make the old approach redundant.

UPDATE 10:20am

We’ve had a comment from Plusnet.

A Plusnet Spokesperson said:

“Like many providers we are making small price changes to some of our products. We’ve managed to keep prices as low as possible without increases for the last 18 months as we know these are always unwelcome.

All customers can move to a Fixed Price Contract to guarantee broadband and line rental prices, to avoid the increase whilst taking advantage of end-of-contract reminders and an annual account review, so they always know they’re on the right deal for their needs.”