BT Broadband Price Increase: Stay Updated

Attention all BT broadband customers! Your monthly bill is set to rise once again, with a 7.9% price increase coming into effect from 31 March 2024. This hike is hot on the heels of a whopping 14.4% increase in the previous year, leaving many customers feeling the pinch.

Understanding BT's Price Increase

So, how has BT arrived at this 7.9% figure? It's a combination of two factors:

1. The Consumer Price Index (CPI) rate from December 2023, which stood at 4.0%
2. An additional 3.9% tacked on by BT

For the average broadband customer, this translates to an extra £3 per month. While that might not sound like much, it can add up quickly over the course of a year, especially when you consider the previous year's eye-watering 14.4% increase.

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The Broader Impact of BT's Price Hike

BT's price increase isn't just a minor inconvenience for a handful of customers. It's a move that will impact a significant portion of the UK's broadband market. Here are some key statistics to consider:

1. Customer Base Impact: BT has a total of 9.3 million broadband customers, all of whom will be affected by the price hike. This includes 6.1 million broadband-only customers and 3.2 million who bundle their broadband with phone and/or TV services.
2. Average Bill Increase: While the average increase is £3 per month, this can vary significantly depending on the customer's package. For those on BT's most popular Fibre 2 package, the average monthly price increase is expected to be closer to £4.50.
3. Comparison with Inflation: BT's 7.9% increase is well above the current UK inflation rate, which stood at 1.5% in April 2024. This means that customers are facing a real-terms price hike, with their broadband costs rising faster than the general cost of living.
4. Service Upgrade Statistics: BT has justified the price increase by pointing to ongoing investments in its network and customer service. The company claims that its average broadband speed has increased by 20% over the past year, with 90% of customers now able to access speeds of 50 Mbps or higher.
5. Customer Satisfaction Ratings: Despite these improvements, BT's customer satisfaction ratings have taken a hit in recent years. In Ofcom's most recent broadband customer satisfaction survey, BT scored just 76%, placing it below the industry average of 79%.
6. Switching Rates: BT's price hikes have historically led to an uptick in customers switching to other providers. Following the 14.4% annual price rise last year, an estimated 500,000 customers left BT for cheaper alternatives such as Plusnet, EE broadband, Vodafone broadband.

1. Growth in Alternatives: The rise of alternative broadband technologies, such as 5G home broadband and full-fibre services, is giving customers more choices than ever before. In 2023, the number of homes able to access full-fibre broadband increased by 50%, reaching 10 million premises.
2. Social Tariff Uptake: For customers struggling with the price increase, BT offers a discounted social tariff. However, uptake of this tariff has been low, with only 2% of eligible customers currently taking advantage of it.
3. Competitive Pricing: Despite the price increase, BT remains one of the more expensive broadband providers in the UK. For a comparable fibre package, customers could save an average of £10 per month by switching to a new provider like TalkTalk or Vodafone.
4. Historical Price Trends: BT's broadband prices have been rising steadily over the past decade. In 2014, the average monthly cost of BT broadband was just £22.50. By 2024, this had risen to £40, representing a 78% increase over the 10-year period.

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BT vs. the Competition

BT isn't the only provider hiking up prices in 2024. Let's see how it stacks up against some of its main telecoms firms and broadband services:

While BT's increase is certainly significant, it's not the highest among the major providers. That dubious honour goes to Virgin Media, with an 8.8% hike. Sky and TalkTalk are also increasing prices, but by slightly less than BT.

However, it's important to look beyond just the percentage increase. The actual impact on your bill will depend on your current package and pricing. For example, a 7.9% broadband price rise on a £50 per month BT package is going to hurt more than a 7.7% increase on a £30 per month TalkTalk deal. If you're looking to avoid these price increases and find a great broadband deal, Free Price Compare can provide the latest advice and options for switching when your contract ends.

Your Options as a BT Customer

If you're a BT customer feeling the squeeze from this price hike, you've got a few options to consider:

1. Negotiate with BT: It never hurts to haggle. Get in touch with BT's customer retention team and see if they can offer you a better deal or some extra perks to offset the price increase.
2. Switch providers: If you're not tied into a contract, now might be the perfect time to shop around for a better deal. Use comparison websites like Free Price Compare to find the most competitive broadband packages in your area.
3. Downgrade your package: Take a close look at your current broadband package. Are you paying for speeds or extras you don't really need? Downgrading to a more basic package could help you save money.
4. Bundle your services: If you're currently getting your broadband, phone, and TV from separate providers, consider bundling them together with BT. This can often work out cheaper than paying for each service individually.
5. Cut back on extras: Do you really need that super-fast broadband or those extra TV channels? Cutting back on unnecessary extras can help to offset the price increase.

Managing and Viewing Your BT Broadband Bill

To manage and view your BT broadband bill, you can use the following methods:

Online Account Management:

• Go to the BT website and click on the "My BT" link at the top of the page.
• Log in to your BT account using your username and password.
• Once logged in, click on the "Bills" or "Manage my bills" section to access your bill details.
• Here, you can view your current and past bills, check your balance, and make payments.

BT App:

• Download the BT app from the App Store (for iOS devices) or Google Play Store (for Android devices).
• Open the app and log in using your BT account credentials.
• Navigate to the "Bills" or "Billing" section within the app.
• You can view your bill details, current balance, and make payments directly through the app.

Email Billing:

• If you have opted for paperless billing, BT will send your bill to your registered email address.
• Check your email inbox for messages from BT containing your bill details.
• Open the email and click on the provided link or attachment to view your bill.

Paper Billing:

• If you have chosen to receive paper bills, BT will send your bill to your registered postal address.
• Check your mail for the physical copy of your bill.
• Review the bill details and make payments using the provided methods, such as Direct Debit or online payment.

Customer Support:

• If you have any issues accessing or understanding your bill, you can contact BT customer support for assistance.
• Call their customer service helpline or use the live chat feature on their website to speak with a representative.
• They can help you with billing queries, payment issues, or any other concerns related to your BT broadband account.

Remember to keep your BT account login details secure and regularly check your bills for accuracy. If you notice any discrepancies or have questions about charges, don't hesitate to reach out to BT customer support for clarification.

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BT Broadband Price Increase 2024: When Will It Take Effect?

According to the information provided earlier, BT's broadband prices are set to increase by 7.9% starting from 31 March 2024.

This price increase is based on the Consumer Price Index (CPI) rate from December 2023, which was 4.0%, plus an additional 3.9% added by BT. The average monthly increase for a typical BT broadband customer is expected to be approximately £3.

It's important to note that this price increase follows a significant hike of 14.4% in the previous year, highlighting a continuing trend of rising costs for BT broadband customers.

The Bottom Line

BT's 7.9% broadband price increase in 2024 is certainly unwelcome news for customers, especially coming so soon after the previous year's 14.4% hike. However, by understanding your options and taking proactive steps, you can mitigate the impact on your wallet.

Whether you choose to negotiate with BT, switch providers, or simply cut back on extras, the key is to be informed and proactive. Don't simply accept the price increase without exploring your options.

Remember, you have the power to vote with your wallet. If you're not happy with BT's prices or service, don't be afraid to take your business elsewhere. With so many broadband providers vying for your custom, you're sure to find a deal that works for you.

Frequently Asked Questions

Can I cancel my BT contract due to the price increase?

If you're currently in a contract with BT, you may be able to cancel without penalty if the price increase takes you above the rate of inflation. However, this depends on the terms of your specific contract. Contact BT customer service for more information. 

Will the price increase affect all BT broadband customers?

Yes, the 7.9% price increase will apply to all BT broadband customers, regardless of the package they're on. However, the exact amount your bill increases will depend on your current package and any discounts you receive. 

How does BT's price increase compare to previous years?

The 7.9% increase in 2024 is lower than the 14.4% hike customers experienced in 2023. However, it's still a significant increase, especially when you consider that prices have been rising steadily for several years now. 

Are there any ways to avoid the price increase?

If you're not happy with the price increase, your best bet is to either negotiate with BT for a better deal or switch to a cheaper provider. You could also consider downgrading your package or cutting back on extras to offset the increased cost. 

Will my broadband speed be affected by the price increase?

No, the price increase won't have any direct impact on your broadband speed. However, if you decide to downgrade your package to a cheaper option, you may find that your speed decreases as a result. 

What happens if I cancel my BT contract?

If you cancel your BT contract before it expires, you may be charged an early exit fee (also known as termination fee). The amount will depend on how much time is left on your contract. However, if you cancel due to the price increase taking you above the rate of inflation, you may be able to avoid these fees. Additionally, if you're approaching the end of your contract, you could soon save money by switching to a cheaper deal once your initial fixed term comes to an end.

How can I find cheaper broadband deals?

Use comparison websites like Free Price Compare to search for the best broadband deals in your area. Be sure to consider factors like speed, data allowance, and contract length when making your decision. 

Will the price increase affect BT's other services?

Yes, BT has confirmed that the 7.9% price increase will also apply to its phone and TV services. If you subscribe to these services alongside your broadband, you can expect to see a similar increase on your total bill.