Disney+ UK subscribers face a price increase of up to 38 per cent, mirroring a US rise, as the streaming giant moves to an advert-supported tier. The hike comes as households grapple with the cost-of-living crisis, with Disney citing a $1.1bn operating loss from content investment.
Currently priced at £7.99 per month, the ad-free option may soon cost significantly more, following a US rise from $7.99 to $10.99. Disney has yet to confirm UK plans but analysts expect a similar jump. The cheaper, ad-supported version will be $7.99 in the US, with no adverts during children's programming.
Disney+ surpassed Netflix with 221.1 million total streaming subscribers, though Netflix has 220.7 million. Both platforms are betting on lower-priced, ad-supported tiers to retain customers amid rising competition from Apple TV, HBO Max, and Amazon Prime.
Disney's move into advertising could impact UK broadcasters like ITV, which is launching ITVX this autumn with a premium ad-free option. Disney has already sold $9bn in ads for the upcoming season.
Disney expects Disney+ to be profitable by 2024, with current US subscribers automatically moved to the ad-supported plan unless they opt for the higher-priced ad-free tier. The company added 14.4 million subscribers in its fiscal third quarter, driven largely by international growth.
