Mobile Brands Increasing Prices

Published: 2017-02-27

Prices will rise by RPI (Retail Price Index). Today we are explaining what this means and what you can do. RPI is a measure linked to inflation – it measures the increase in prices for consumers on average across the country over a year. RPI is published by Office of National Statistics and is currently set at 2.6 per cent.

We are taking a look at which firms will increase the monthly prices. What we can read on the news is that EE and o2 have warned customers by sending an email to them. So when can we expect the price hikes which customers will be affected?

So it’s says that plans like pay monthly and sim will only be affected and the rise will begin from March with EE customers and o2 following in April. Pay as you go customers don’t need to worry.

EE says that their customers will see an increase of less than 80p a month. in an email we received form EE we can read that: ‘’Any bills you receive form 30th March will show a 2.5% increase in the monthly price of your plan. Below we’ve listed some of our popular price plans to give you an idea of how much your price plan will change’’

Monthly plan price (incl VAT) % Increase Approximate increase to
monthly plan price (incl VAT)
£14.99 2.50% £0.37
£24.99 2.50% £0.62
£34.99 2.50% £0.87

On the other hand o2 is going to increase monthly prices for all pay monthly and sim- only customers by 2.6 per cent in April 2017. O2 says that they will increase their most popular plan by 46 pence per month.

Telecoms and any other big companies are allowed to impose mid contract price rises because of a clause in their term and conditions that warns customers about possible increases in line with the RPI. However for contracts taken out prior to 23 January 2014 there is no set rules in place which allow you to cancel your contract because of price hikes.

What if you wish to cancel your contract? Well you may cancel your contact, however because the increase in your plan is in line with RPI and it was mentioned in your provider terms and conditions you will pay cancellation charges. As stated in EE Terms you may cancel your contract without penalty if they increase your monthly plan charge by more than the current rate of RPI. If your provider did not warn you about price rise in their terms and conditions and your rise is more than RPI you may be able to cancel your contract without paying exit fee. Always remember to read your terms and condition before making any decisions.

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