* Only 10% of broadband users switched to a better deal in 2008(1)
* Broadband 37% cheaper in Feb 2009 compared to Feb 2006(3)
* Broadband bills overlooked in rush to cut household costs
As recession nips at the heels of cash-strapped consumers it is no surprise that cutting down on household costs has become a priority for many. However recent statistics have shown how broadband is being overlooked as a mere 10% of broadband users switched to a cheaper deal in 20081. This is a shame because consumers could save over £230 by choosing the right package(2).
New research from BroadbandChoices.co.uk has revealed that from February 2006 to February 2009 the average cost of broadband has fallen by 37%(3). Meanwhile, over the same period average broadband speed has increased by 700%(3). This means that any consumer who hasn’t switched broadband deals recently could find that they are on a "legacy tariff" – stuck on an old package, paying more expensive rates for significantly inferior services.
Michael Phillips, product director, BroadbandChoices.co.uk said:
"Unlike most other household bills, the cost of broadband has decreased whilst the quality has increased in the last three years. This is because of increased competitiveness within the market and a higher take up rate.
"Remember, suppliers save their most compelling offers for new customers and unfortunately many households continue to pay a legacy tariff. They don’t realise that by switching – or asking for a better deal - they can get a newer, cheaper and faster service. If they bundle their services then the savings will be even greater.
"Broadband is in danger of becoming ‘the forgotten bill’. We urge consumers to check they are not stuck on a legacy tariff with their current provider – if they haven’t switched in the past year, then its time to get online and compare current deals."
Top tips for getting off that legacy tariff:
* Compare broadband deals in your area – package availability and costs vary by postcode. There might be a bundle solution available in you area offering even greater savings.
* Haggle with your existing provider – they may have a newer deal you can move across to without changing supplier.
* Sign up online – many ISPs offer additional discounts and incentives if you subscribe online rather than over the phone.
Compare your present deal against the latest best buys on BroadbandChoices.co.uk.
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Notes to Editors:
All information correct at 11 May 2009.
(1) Ofcom report - The Consumer Experience 2008
(2) Savings example based on ongoing annual costs of subscribing to BT Unlimited Evening & Weekend Plan £135 per year (£11.25 per month); AOL Wireless Broadband £179.88 per year (£14.99 per month); and Sky TV 1 x Entertainment Pack £198 per year (£16.50 per month) – a total cost £512.88 per year vs. the first year cost of switching to Virgin Media Broadband L + TV M + Phone M package (£148.00 plus £11.00 per month line rental) – a total cost of £280.00 (includes £20.00 online order discount and free installation; offers end 31 May 2009)
(3) All data sourced from BroadbandChoices.co.uk comparison tables February 2006 and February 2009. First year costs include special offers or discounts and any additional charges such as hardware, postage costs and installation fees.
Monthly costs are taken by dividing the first year cost by 12 and do not necessarily reflect the ISPs advertised monthly charge or limited introductory offers. All figures exclude line rental. BroadbandChoices.co.uk compared the average total first year cost of the 10 cheapest packages available on its comparison calculator in Feb 2006 with the average total first year cost of the 10 cheapest packages available on its comparison calculator in Feb 2009. The difference in price was 37% (£172.37 vs. £108.55) and the difference in speed was 700% (1Mb vs. 8Mb).
For further information please contact:
020 7700 3245
Karen Wagg/ Emily Church
020 7655 0540
BroadbandChoices.co.uk was launched in 2005 and is the UK’s leading Ofcom accredited broadband comparison calculator.
We offer comprehensive and impartial advice on broadband, mobile broadband and bundled packages (broadband with home phone and digital TV).
The BroadbandChoices.co.uk calculator compares thousands of different combinations of packages and provides results in a clear, intuitive table where users can rank and compare services according to their individual needs.
At BroadbandChoices.co.uk we help our users make the right choice of provider and get the most from their broadband service.
This press release was distributed by ResponseSource Press Release Wire on behalf of BroadbandChoices.co.uk in the following categories: Consumer Technology, Computing & Telecoms, for more information visit https://pressreleasewire.responsesource.com/about.