Millions of EE and BT broadband, TV and phone costumes will see the cost of their bills go up this year as the provider hikes its prices.
BT, which also owns EE, has said it will be increasing its costs by up to 4.5 per cent from the end of March, meaning customers will pay up to £24 extra per year.
What are the changes?
Telecoms providers typically increase the cost of bills annually to rise in line with inflation.
However, in September 2020, EE and BT updated its terms and conditions for new customers to allow prices to be hiked by December’s Consumer Prices Index (CPI) inflation, which was 0.6 per cent, plus 3.9 per cent.
The price increases will vary among customers depending on when they signed up to their contract.
Those who took out a contract with EE or BT after 1 September 2020, or before 11 January 2019, are likely to face a 4.5 per cent increase from 31 March. This includes customers who have BT Sport as part of a contacted TV deal.
Customers on these contracts will face the biggest rise in prices, adding up to £24 extra per year to bills, or £2 more per month.
Those who signed their current contract between 11 January 2019 and 31 August 2020 are subject to different terms, and will typically see bills increase by 0.6 per cent.
This is because these customers are on old contracts that only allow providers to hike prices in line with the previous December’s CPI inflation.
It means that a £30 per month contact will rise by 18p per month, or £2.16 annually.
Who won’t be affected?
Only BT Sport Monthly Pass, BT Basic and Home Phone Saver, and pay-as-you-go customers won't see their bills go up.
Plusnet users, which is part of the same telecoms group as BT and EE, will not be affected by the price rises that will come in on 31 March.
However, customers who are locked into a fixed deal will not be able to avoid the price hikes, as such increases were outlined in the terms and conditions of the contract.
Those who are out of contract will be able to switch deals without incurring a penalty fee.
Comparison sites such as USwitch and ComparetheMarket are useful in finding the cheapest contract deals available.