For years, many broadband and phone contracts included a yearly price rise that you could not work out when you signed. It was usually linked to inflation, so the actual amount depended on figures published months later. Ofcom, the UK communications regulator, has changed that. New contracts now have to show any built in price rise as a fixed amount in pounds and pence. This guide explains what changed, why, and what it means for you.
What was the problem with the old price rises?
Many providers used a formula for their yearly rise, typically a measure of inflation such as the Consumer Prices Index (CPI) with an extra amount added on top. The contract told you the formula, but not the answer.
That caused several problems:
- You could not know your future bills. The rise depended on an inflation figure that had not yet been published when you signed.
- Rises could be much larger than expected. When inflation was high, customers saw big increases in the middle of contracts they could not leave without paying a charge.
- Comparing deals was hard. Two packages with the same starting price could cost very different amounts over the contract.
Ofcom concluded that many customers did not understand these terms and could not judge what they would pay. It decided that price rises should be clear from the start.
What is the Ofcom rule?
From 17 January 2025, providers of broadband, landline and mobile services cannot include inflation linked or percentage based price rises in new contracts for home customers, small businesses and not for profit organisations. If a contract includes a rise during the minimum term, it must be:
- Set out in pounds and pence, for example as a fixed amount added to your monthly price.
- Shown clearly and prominently before you sign up, including in the contract summary.
The aim is that you know exactly what you will pay each year of the contract before you commit.
Who does the rule cover?
The rule covers home customers, small businesses (microenterprises and small enterprises) and not for profit organisations, such as charities, taking out new contracts from 17 January 2025. It also applies when an existing customer agrees a new contract, for example by upgrading or recontracting, on or after that date.
What about contracts signed before 17 January 2025?
The rule does not rewrite older contracts. If you signed before that date, your contract may still contain an inflation linked rise until the minimum term ends or you move to a new contract. Check your terms, or ask your provider, if you are unsure which applies to you.
What does a pounds and pence rise look like?
Under the new approach, your contract states a fixed amount and the date it applies. It might read along the lines of: your monthly price rises by a stated amount in pounds and pence on a stated date each year. Some packages have no yearly rise at all, and should say so.
Because the amount is fixed, you can add it up yourself and see the total cost of the contract from the start, which makes comparing providers much easier.
Can my provider still put prices up in other ways?
A fixed rise written into your contract is not the only way a price can change, but other changes come with protection. Under Ofcom's rules, if a provider makes a change to your contract that is not to your benefit, and it is not already set out in the contract terms, the provider must:
- Give you at least one month's notice, and
- Let you leave without paying an early termination charge.
This is separate from a rise already written into your contract in pounds and pence. A rise you agreed to when you signed does not give you a right to leave.
What to check before you sign
- Look for the yearly rise. Find the amount in pounds and pence and the date it applies.
- Work out the total cost. Add up the monthly price for each year of the minimum term, including any rises and one off charges such as installation.
- Read the contract summary. Providers must give you a short summary of the key terms before you agree. The price rise should be shown there.
- Check the minimum term. Longer terms can mean more yearly rises before you are free to switch.
- Check what happens at the end. Find out what you will pay after the minimum term ends, and how much notice you need to give to leave.
How Cyber Fibre handles price rises
Every Cyber Fibre package shows its yearly price rise as a fixed amount in pounds and pence. You see it when you choose your package, and again in your Order Summary and Contract Summary before you sign. We do not use percentages or inflation measures such as CPI or RPI for price rises, for home or business customers.
The rise applies on 1 April each year, and we remind you before it happens. Some packages have no yearly rise, and say so. If we ever need to change your price in any other way that is not to your benefit, we will give you at least one month's notice and you can leave without an early termination charge. Full details are on our price rises page.
Thinking of switching?
If you are on an older contract with an inflation linked rise, and your minimum term has ended or is ending, switching to a contract with fixed rises can make your costs easier to plan. Home customers can use One Touch Switch, where the new provider arranges everything. Our guide to One Touch Switch explains how it works, and our guide to broadband contracts and your rights covers the other protections you have.
See the price rise before you order
Check your address to see the packages available at your premises, with the monthly price and the fixed yearly rise shown for each one. Home prices include VAT and business prices are shown excluding VAT. If you have a question about our terms, see our terms or contact our team.