New customers of TalkTalk’s entry-level SimplyBroadband bundle look set to be the worst hit today as their standard monthly rental price shoots up by 42.86% from £3.50 to £5 per month, with most of the ISPs other bundles and TV packages also experiencing a +£1.50 per month rise in the cost of service.
Part of the reason for this increase may be as a reflection of Ofcom’s underlying price control regulation (here), which has moved the cost of fully unbundled (MPF LLU) lines closer to that of BT’s standard wholesale solutions; although this is often recouped via line rental rather than broadband hikes. On top of that there are the usual inflationary increases.
Never the less the rise for those taking SimplyBroadband is quite significant for a cheap package, which lest we not forget started out in 2013 as a £2.50 per month package with no free UK calls (note: you still have to add TalkTalk’s line rental on top) and has thus risen in price by 100% in a little less than two years. The other price adjustments are as follows.
Naturally TalkTalk has moved to soften the blow by offering SimplyBroadband free for the first 12 months of service (£5 per month thereafter). In addition, TalkTalk are also adjusting their UK calling plans and charges a bit to reflect wider changes in the industry (here).
NOTE: Some mobile plans will also go up by +50p.
UPDATE 9:15am
A spokesperson for TalkTalk informs ISPreview.co.uk that the price adjustments are needed to fund improvements of their network and service (i.e. not so much related to the Ofcom/BT prices changes). “In making these improvements, some prices will increase. TalkTalk still remains Britain’s lowest priced unlimited broadband, offering a saving of up to £176 a year in comparison to BT,” said the spokesperson. It’s unclear which aspects are being improved, although data usage is constantly rising and so capacity might play a part.
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