On 31st March 2023, we'll be making some changes to our prices in line with your terms and conditions. Here's everything you need to know.
Each year, we adjust the prices of our products and services in-line with the Consumer Price Index (CPI) rate of inflation, plus 3.9%.
When we work out our prices, we use the December CPI rate published in January. For December 2022, the CPI rate was 10.5%. This means that the majority of our customers will see a price increase of 14.4% (which is 10.5% plus 3.9%), or just over £1 per week on average.
These price changes take effect on or after the 31 March 2023.
What is CPI?
CPI is the most used and reliable measure to track inflation – it compares the cost of a selection of goods (food, clothes, travel etc.) from one year to the next. A new rate is published monthly by the Office for National Statistics, and we always use the December rate, published in January, for our price change. There’s lots more info on CPI on the Office for National Statistics website, just visit https://www.ons.gov.uk/ .
Why is Plusnet increasing prices?
Like business across the country, our costs are increasing. In fact, many of our costs are going up by a lot more than the rate of inflation. For example, our energy bill has increased by 80% over the past year, and the cost of our Home Hubs has risen by more than 20% since 2021. This is part of the reason we add 3.9% onto the rate of inflation when we update our prices every year, to ensure we can cover these increases.
We are also investing more than ever to provide customers with the best experience and service possible. That means continually improving our networks, products, and customer service to give even better value.
We know our customers are more reliant on our services to keep them connected than ever before. In the UK we are some of the biggest data users in Europe – and usage has been increasing by as much as 50% each year recently. It is essential to always be connected, whether you’re working from home, gaming with friends, bingeing the latest boxsets or simply keeping in touch with loves ones.
Yet, on average, the price customers pay for their mobile and broadband connections makes up just 3.8% of their household spend. This means these latest price changes will cost an average of just over £1 extra a week for most people with a broadband or mobile plan.
We’ve got the best networks in the UK and we’re investing to keep up with the demand for data, which has trebled in the last five years. And we’re expanding the reach of our next generation networks to bring the fastest speeds to more of the UK.
What prices are increasing?
The monthly price for broadband, line rental, call plans and call charges and BT Sport services signed up to on or after 9th December 2020 (including the BT Sport App, BT Sport over Sky and BT Sport over Sky HD) will increase on 31st March 2023 by 10.5% in line with the Consumer Price Index (CPI) rate published by the Office for National Statistics in January this year plus 3.9%.
We recently contacted you to confirm these price increases. This notice should set out the price increases to your broadband, line rental, any call plan and BT Sport service you may have.
Further details on call charge increases are set out below.
How will you calculate my price increases?
We'll take the CPI percentage rate published by the Office for National Statistics in January of this year which is 10.5% and add an extra 3.9%. So the total rate we'll apply is 14.4%.
Here's an example to show how the price rise works.
Let's say:
You have Unlimited Fibre Broadband and line rental and the price of your package is made up of:
Unlimited Fibre Broadband - £18.56 per month
Line rental - £23.19 per month
Your total monthly price up to 31st March 2023 = £41.75
The CPI index rate in January 2023 is 10.5%
New monthly price from 31st March 2023 = £47.76
The new price of your package is made up of:
Unlimited Fibre Broadband £18.56 per month plus 14.4% (the 10.5% CPI rate published in January 2023 plus 3.9%) = £21.23 per month
Line rental £23.19 per month plus 14.4% (the 10.5% CPI rate published in January 2023 plus 3.9%) = £26.53 per month
If you receive a discount on your services, the increase will be applied to this amount. You can check your current package details by signing into My Account
See our CPI Plus 3.9% Guide for details.
Do the price increases apply to all BT Sport services?
For any BT Sport service signed up to on or after 9th December 2020 the price will increase by 10.5% in line with the Consumer Price Index (CPI) rate published by the Office for National Statistics in January this year plus 3.9%. This includes the BT Sport App, BT Sport over Sky and BT Sport over Sky HD.
Here's an example to show how the price rise works for one of our BT Sport services.
Let's say:
You signed up to the BT Sport App on or after 9th December at £17.15 a month
New monthly price from 31st March 2023= £19.62
£17.15 plus 14.4% (the 10.5% CPI rate published in January 2023 plus 3.9%) = £19.62 per month
What about changes to call charges?
On 31st March we are increasing the charges for UK calls, international calls (except where the EU regulatory price cap previously applied) and call set up fees by 14.4%. Further details are set out below.
UK call rates
These are the standard rates for calls to UK landlines (01, 02 and 03) and UK mobiles. UK rates include calls to landlines in the Channel Islands and calls from Northern Ireland to landlines in the Republic of Ireland.
Calls to 01, 02, 03 numbers
The current rate of 17.15 pence per minute will increase to 19.62 pence per minute.
Call set up fee
For any calls which include a set-up fee, the new rate will apply. The current rate of 26.30 pence will increase to 30.09 pence.
Calls to UK mobiles
The current rate of 20.58 pence per minute will increase to 23.54 pence per minute.
International call rates
Increases will apply to all standard call rates to international landline and mobile numbers (except where the EU regulatory price cap previously applied). Here's a couple of examples of how the 14.4% increase will be applied to international calls.
Canada - current rate of 27.20 pence per minute for day time calls to mobile numbers will increase to 31.12 pence per minute
USA - current rate of 24.01 pence per minute for day time calls to landline numbers will increase to 27.47 pence per minute
Details of all current rates per country can be found at call rates to international numbers
Will there be any changes to early termination charges?
Yes. From 31st March, early termination charges will also increase in line with the Consumer Price Index (CPI) rate published by the Office for National Statistics in January this year plus 3.9%.
Please see our Price Guide for details on how we calculate early termination charges.
Can I cancel my contract and leave without penalty because of these changes?
As we're only putting up the price of broadband, line rental, call plans and call charges in line with the CPI plus 3.9%, if you choose to cancel because of this, you'll still need to pay any early termination charges if you're still within your minimum term. This is because the amount we can increase your price by is fixed to any increase in CPI plus 3.9% and we'll have made the price increase clear when you signed up and you'll have agreed to it in our terms and conditions.
You can check your package details by signing into Member Centre
If you need any help please just give us a call on 0800 432 0200
Can I renew or upgrade my broadband package?
Yes. You don’t need to wait until your contract ends, you can change or upgrade your broadband package anytime you like.
You’ll find all your personalised offers and upgrade deals by logging into Member Centre.
All new packages include CPI plus 3.9% price terms and conditions.
