Understanding Mid-Contract Price Rises: Vodafone & Three

Why are Vodafone and Three putting prices up mid-contract?

Vodafone and Three have both announced higher mid-contract price rises for many new customers. If you take out, upgrade or renew a deal after their new terms kick in, your monthly bill can go up each year while you’re still in contract.

For some customers, the changes could mean paying up to £84 more over the length of the contract on top of the original monthly price. That extra cost comes at a time when many households are already struggling with the cost of living.

These increases follow a wider trend across the UK mobile and broadband market. Big providers often build annual price rises into the small print. In the past this was usually linked to inflation (like CPI or RPI plus a fixed percentage). Now, many providers are switching to fixed pound-and-pence rises instead, which might look clearer but can still be painful.

Telecoms and consumer experts have criticised these mid-contract price rises as unfair and confusing, especially when people feel locked in and unable to switch easily.

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How do mid-contract price rises work?

When you sign up to a mobile or broadband deal, the provider gives you a “minimum term” – for example, 12, 18 or 24 months. During that time you pay a monthly price, and in return the provider agrees to supply the service.

But in many contracts, the provider also reserves the right to increase that monthly price once a year. This is what’s meant by a “mid-contract price rise”.

There are usually three key parts to this:

1. When the rise happens
   Most providers apply their increase once a year, often around March or April.
2. How the increase is calculated
   • Older contracts often used a formula like “CPI or RPI plus X%”.
   • Newer contracts are more likely to say something like “we’ll put your bill up by £X per month each April”.
3. Where it’s written down
   The details must be included in the contract or terms and conditions. New rules mean providers should spell this out clearly, in pounds and pence, when you sign up.

In practice, this means you can sign a contract at £25 per month and find that, part way through, it rises to £26, then £27 and so on – even though you’re still within your minimum term.

How much more could Vodafone and Three customers pay?

The exact figures will depend on the plan you choose, but the pattern is similar: a fixed monthly increase each year during your contract.

Below is a simple example to show how costs can add up:

These are illustrations, but they match the type of increases being reported, where some Vodafone and Three customers could pay up to £84 more over the full term of a broadband or mobile contract.

For households already juggling energy, food and housing costs, that extra money is far from trivial.

Which customers are affected – and which are not?

Not everyone will be hit in the same way. It depends on when you joined, what you signed up to, and what’s in your contract.

More likely to be affected

• Customers who sign up or renew after the new terms take effect
• People on contracts that explicitly include a fixed annual price rise in pounds and pence
• Customers who agree to a new deal after being contacted about an “upgrade” or “better offer”, but don’t notice the new price-rise clause

Less likely to be affected

• Customers who took out contracts before the new pricing structure started
• People on fixed-price plans where the provider guarantees no mid-contract increase
• Customers on social tariffs or certain vulnerable customer tariffs, where providers sometimes promise no annual rise for the duration of the term

If you’re unsure, the key thing is to check your specific contract, not just general news headlines.

How to check if your Vodafone or Three contract will go up

To see if you’re affected by mid-contract price rises, work through these checks:

1. Look at your contract start or upgrade date

Price-rise rules often change based on when you:

• first took out the contract
• last renewed or upgraded
• changed package (for example, increased your data allowance)

If you signed after the most recent changes, you’re more likely to be on the new structure.

2. Read the price-rise clause

In your contract or welcome email, look for wording like:

• “Your monthly charges will increase by £X each April.”
• “We’ll increase your price by a set amount once a year during your minimum term.”

If you see specific pound-and-pence figures, those are the mid-contract increases you’ve agreed to.

3. Check if you’re on a fixed-price or price-freeze deal

Some providers and sub-brands offer fixed-price contracts, especially on SIM-only or certain broadband products. These usually say something like “no mid-contract price increases”.

If your deal doesn’t say this, assume there may be a rise.

4. Find out if you’re on a social or special tariff

Vodafone, Three and other networks offer social tariffs or special plans for customers who receive certain benefits or who are classed as financially vulnerable. These tariffs are sometimes shielded from mid-contract rises for the length of the deal.

If you’re struggling with bills, it’s worth checking whether you qualify.

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Can Vodafone or Three raise prices mid-contract legally?

Yes – but only if they follow the rules and you were told clearly about the increases when you signed up.

In recent years, the telecoms regulator has tightened up the rules so that:

• price rises must be clear and transparent
• increases written in percentages and inflation formulas alone are discouraged or restricted
• customers should be told what will happen to their bill each year in a way they can understand, using pounds and pence

If a provider tries to raise your price in a way that doesn’t match what you agreed to, or introduces an entirely new type of increase, you may have the right to leave the contract penalty-free.

Can you leave your contract early because of a price rise?

It depends on what you agreed to at the start.

You are more likely to be able to leave without penalty if:

• the price rise is not mentioned in your original contract
• the amount is higher than what was promised
• the provider has changed the structure of the price rise after you signed up
• you are on a plan that promised a fixed price and that promise has been broken

You are less likely to be able to leave without penalty if:

• the price rise matches the exact wording you agreed to
• the contract clearly stated the increase in pounds and pence
• the provider is simply following the rules already in your agreement

If you think the rise is unfair or not in line with what you signed, you can:

• contact your provider and ask them to explain
• raise a formal complaint if you’re not satisfied
• escalate to the relevant ombudsman if the issue isn’t resolved after following the provider’s complaint process

Even if you can’t leave penalty-free, it may still be worth negotiating. Many customers successfully haggle a discount, a better bundle or an early upgrade when they call to query price rises.

How to avoid mid-contract price rises in future

If you’re fed up with unexpected increases, you can try to design your next contract to avoid them as much as possible.

1. Pick fixed-price contracts

Look for phrases like:

• “fixed price for the length of the contract”
• “no mid-contract price rises”
• “price freeze”

These deals are often offered by smaller or challenger brands, as well as some bigger providers’ sub-brands.

2. Separate your phone and airtime

Instead of a single long handset contract, consider:

• buying your phone outright (or on a separate finance plan)
• pairing it with a 30-day or 12-month SIM-only deal

It’s usually easier to move between SIM-only providers than to leave a full handset contract early.

3. Time your renewals carefully

Keep track of when your minimum term ends. Once you’re out of contract:

• you’re usually free to switch without paying an early exit fee
• your provider may be more open to offering you a discount to stay
• you can shop around to find a deal that better protects you against mid-term rises

4. Use comparison tools

Comparing deals side by side helps you see which providers are building price rises into the small print – and which aren’t.

If your contract is nearly up, it’s a great moment to compare broadband deals and mobile plans so you’re not stuck with avoidable price hikes.

What about broadband price rises and bundles?

It’s not just mobile plans. Many households now buy broadband and mobile from the same provider, sometimes in bundled or converged deals.

For example:

• mobile-only customers might see a smaller monthly rise
• home broadband contracts may have a larger fixed increase each year
• bundled deals can be affected on both sides – mobile and broadband at the same time

This is why it’s important to think about your telecoms budget as a whole. A small rise on mobile plus a bigger rise on broadband soon adds up over a few years.

When you review your mobile contract, take a moment to compare broadband deals as well so you can see the total impact on your household bills.

Could switching save you money even after a price rise?

In many cases, yes.

If you are:

• close to the end of your contract
• already out of contract
• on a rolling 30-day deal

…you are usually free to switch to a new provider or plan without any early exit fee.

Switching can help you:

• move to a provider that doesn’t put prices up mid-contract
• find a cheaper monthly price overall
• get more data or faster speeds for the same money
• reduce the risk of another surprise in next year’s bills

The key is to:

1. Check your current contract end date
2. Find out if you’re already out of term
3. Compare the best deals available
4. Move to one that suits your usage and risk appetite

Before you accept another rise, take a minute to compare broadband deals and mobile tariffs side by side – you might find a better fit for your budget.

FAQs about Vodafone and Three mid-contract price rises