ISP Tesco Broadband Reveals UK Price Hikes Just Before Christmas

Customers of Tesco’s fixed line “unlimited” broadband and phone services may be displeased to learn that they’re about to become the latest to be hit by a price hike. The worst part is that customers have only been given 10 days to decide and those who refuse will have to switch.. at Christmas!

Tesco claims that the increases, which will come into force from March 2013, are necessary “so that we can continue to offer our customers an unlimited broadband service“. The ISP notes that its new prices will be frozen until 2014. But most of the hikes appear to come from their phone service, with line rental increasing from £13.75 to £14.90 a month.

Elsewhere any calls you make to UK landlines and 0845/0870 numbers (i.e. calls that occur outside of your inclusive allowance) will increase from 7.5p per minute to 8.4p per minute. The standard call connection fee is similarly increasing from 12.5p to 13.8p per call and calls to their top international destinations will jump from 7.5p per minute to 8.4p.

Tescos Statement

We’re changing some of our prices in March 2013 but our great service isn’t changing, and we will still be excellent value for money. We’re increasing some of our prices so that we can continue to offer our customers an unlimited broadband service. This means you can enjoy all your favourite online activities without worrying about usage charges. Our monthly line rental will remain cheaper than BT, Virgin Media and TalkTalk so you can be sure you’re getting a great deal, and our prices will now be frozen until 2014.

The small slice of good news is that the unbundled (LLU) broadband component of Tesco’s call bundles will see a slight 50p reduction. Meanwhile Tesco’s current half price promotion and existing line rental charges remain in place. Any further details about their forthcoming price changes can be found on Tesco’s site.

The move is of course not unexpected and follows a spate of similar hikes that have recently been announced by all of the major providers. As usual customers are allowed to exit their contract if they don’t approve but Tesco, in their infinite wisdom (that’s sarcasm folks), appears to have only given customers ten days of grace to decide!

It wouldn’t be so bad but doing this right before Christmas shows appalling judgement as many ISPs will be understaffed and this can result in various service delays for those opting to swap provider.