{"id":29841,"date":"2022-01-20T15:41:37","date_gmt":"2022-01-20T15:41:37","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=29841"},"modified":"2022-01-20T15:41:37","modified_gmt":"2022-01-20T15:41:37","slug":"broadband-isp-bt-defends-9-3-percent-uk-price-hike-for-2022","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2022\/01\/broadband-isp-bt-defends-9-3-percent-uk-price-hike-for-2022.html","title":{"rendered":"Broadband ISP BT Defends 9.3 Percent UK Price Hike for 2022"},"content":{"rendered":"

The MD Consumer Customer Services at UK ISP BT<\/a> (EE<\/a>), Nick Lane, has today confirmed yesterday’s report (here<\/a>) that they would hit customers with an annual price increase of 9.3% (up from 4.5% last year) from 31st March 2022 and said it was as a “necessary part of business … [to] keep up with the rising costs we face<\/em>.”<\/p>\n

Many of the market’s largest and most established broadband and phone providers have, over the past couple of years, adopted a model that links their annual price increases to UK inflation, specifically the Consumer Price Index<\/strong> (CPI) rate as published in January each year (5.4%). Often these providers will also add a flat % increase on top of that, which in BT<\/a>’s case reflects an extra 3.9% (hence a total of 9.3%).<\/p>\n

The move is somewhat of a double-edged sword. On the one hand, it provides customers with more transparency and predictability over future price rises, but on the other hand, it makes it harder to exit your contract when the increase hits (Ofcom<\/a>’s rule against mid-contract hikes doesn’t apply). All of this also leaves consumers vulnerable when inflation goes through the roof.<\/p>\n

So far only KCOM<\/a>, which was due to adopt a similar increase, has taken the moral high ground and opted to suspend their planned increase for 2022 (here<\/a>). Meanwhile other providers, such as Virgin Media<\/a> and Sky Broadband<\/a>, appear to be sticking to the old model of fixed price increases that aren’t linked to inflation. But BT, EE<\/a>, Plusnet<\/a>, Vodafone<\/a>, O2<\/a>, TalkTalk<\/a>, Shell Energy<\/a> and Virgin Mobile have so far retained the inflation model.<\/p>\n

Nick Lane, BT’s MD of Consumer Customer Services, said:<\/strong><\/p>\n

“Price rises are never popular, but are sometimes a necessary part of business, if we\u2019re to keep up with the rising costs we face and ensure we can continue to deliver a brilliant network experience as customers usage of data grows month on month. We\u2019ve thought long and hard about how we make sure that any pricing changes are predictable, clear, and not unfairly focussed on our existing customers, but reflected in our new prices too.<\/p>\n

Two years ago, we decided to change the way we implemented price changes. Instead of unexpected, and inconsistent price changes throughout the year, we introduced a single contracted price rise, that would happen annually from 31 March, and would reflect the rising costs to the business, and inflation – measured at CPI, and for those who\u2019ve joined since July last year, CPI+ 3.9%.<\/p>\n

With CPI being announced today at 5.4%, most of our customers will see an increase of 9.3%, which means for the average customer a monthly increase of \u00a33.50.<\/p>\n

These changes won\u2019t be for all our customers, however. For our financially vulnerable customers on BT Home Essentials, BT Home Phone Saver and BT Basic, we will be leaving their prices as they are.<\/p>\n

We\u2019ll soon start writing to our customers, letting them know clearly what this year\u2019s changes will mean for them. We\u2019ll also be explaining why this year\u2019s increase is necessary, allowing us to continue to offer our customers the best and most reliable connection on our networks, with the latest technologies and brilliant UK based service – and all in the most sustainable way.”<\/p><\/blockquote>\n

Nick goes on to highlight some of the other cost impacts on their service delivery, such as a 90% increase in broadband data usage since 2018 (79% increase on mobile since 2019), as well as the move to adopt 100% renewable electricity, ongoing network upgrades (5G<\/a> and FTTP<\/a>), the launch of their new Home Essentials social tariff and the recent completion of efforts to bring their customer support back to the UK etc.<\/p>\n

“We continue to work hard for our customers. We hope that by investing for the future; in our brilliant networks to meet the continuing increase in demand; in delivering the best experience for our customers through innovative products and brilliant service; and in sustainable ways of working, we will all benefit<\/em>,” added Nick.<\/p>\n

Nevertheless, cash strapped consumers, many of whom are already feeling the pinch (or perhaps it’s more of a punch) from the sudden, and quite steep, rise in the cost of living, may not be quite so forgiving when their ISP joins the price hikes club this year. People affected by this could try haggling for a lower price when the notification drops (Retentions \u2013 Tips for Cutting Your Broadband Bill<\/a><\/strong>), although your mileage may vary.<\/p>\n

Naturally, if you’re out of contract, then this year’s round of hikes may just be the nudge that causes you to jump ship. Likewise, there are still some ISPs around, often smaller players, that don\u2019t play the annual price hikes game, but you\u2019ll often pay a little more for those.<\/p>\n

We suspect that the new generation of Alternative Network (AltNet) providers may stand to benefit the most from all this, as many of them are currently quite competitively priced, with the aim being to peel customers away from the established players. If you’re lucky enough to live in an area where such networks exist, then this might be a good option to keep your costs down.<\/p>\n","protected":false},"excerpt":{"rendered":"

The MD Consumer Customer Services at UK ISP BT (EE), Nick Lane, has today confirmed yesterday’s report (here) that they would hit customers with an annual price increase of 9.3% (up from 4.5% last year) from 31st March 2022 and said it was as a “necessary part of business … [to] keep up with the […]<\/p>\n","protected":false},"author":1,"featured_media":27928,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[1],"tags":[474,405,84],"class_list":["post-29841","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uk_isp_news","tag-bt","tag-ee","tag-plusnet"],"share_on_mastodon":{"url":"","error":""},"yoast_head":"\nBroadband ISP BT Defends 9.3 Percent UK Price Hike for 2022 - ISPreview UK<\/title>\n<meta name=\"description\" content=\"The MD Consumer Customer Services at UK ISP BT (EE), Nick Lane, has today confirmed yesterday's report (here) that they would hit customers with an annual\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ispreview.co.uk\/index.php\/2022\/01\/broadband-isp-bt-defends-9-3-percent-uk-price-hike-for-2022.html\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Broadband ISP BT Defends 9.3 Percent UK Price Hike for 2022 - 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