Continuous increases in line rentals and out of contract pricing is costing 15 million homes in the UK an unnecessary £100 per year.
Broadband customers are paying an extra £100 per year for services as a result of out of contract prices, reveals a recent survey.
There has been a 38 percent increase in out of contract prices for copper and for fibre broadband, 19 percent. However, the price of in-contracts has barely changed.
According to comparison site uSwitch, these figures are an indication that customers who have not changed contracts are paying an estimated £1.5bn a year than they should be.
Customers on old contracts are paying approximately £105 per year more than customers on a new contract. On the same token, out of contract broadband customers are overpaying by around £79.
The comparison site have stated that there are somewhere in the region of 15.5 million households in the UK who had not renewed their contracts because of a combination of
factors such as forgetting, and a lack of understanding in regards to their terms and conditions. And as a result of this were paying more than required.
To make matters worse, the price of line rental has been hiked up by a massive 37 percent within the last five years. Since 2011, the price has increased by £58.
Both BT and Sky have recently confirmed a price increase for their broadband services.
Ewan Taylor-Gibson, the spokesman for Uswith stated: “Customers do not have to put up with these unreasonable price hikes. Over the past five years, customers have really had their wallets hit.”
He then went on to say: “All broadband customers should check their bills and make sure that their contracts are still valid, because if not you are paying money that you don’t need to be paying.