Millions of mobile and broadband customers will no longer face unexpected mid-contract price rises after major telecom providers signed a new voluntary commitment. The Telecoms Consumer Charter, agreed following a roundtable chaired by Chancellor Rachel Reeves and Technology Secretary Liz Kendall, requires firms to give clear upfront information on any future price changes, stated in pounds and pence.
The move comes after providers were banned from linking mid-contract increases to inflation, but some were accused of making a mockery of the rules by announcing even larger rises. Consumer champions, including Martin Lewis, had criticised the practice. Under the charter, customers will know exactly what they will pay when signing up for a new deal, and clearer signposting for cheaper social tariffs—which could save eligible households up to £220 per year—is also promised.
However, critics argue the measures do not stop above-inflation rises or prevent variable pricing. Speaking to the Mirror, Reeves refused to rule out legislation but said the voluntary approach brings immediate action. “We now need to judge the telecoms companies,” she said, vowing to act if they breach the agreement.
Sebastien Lahtinen of thinkbroadband.com noted: “The changes improve clarity and restrict large unplanned increases, but they do not remove annual rises altogether, nor do they automatically mean customers on lower packages will pay less.” The Chancellor added that many customers were angered by last year’s unexpected bill hikes, and the charter should prevent a repeat.
