- Millions of broadband users are paying more due to expired contracts
- About 4% of users do not know their contract status
- Off-contract prices often increase by around £20 or more per month
Many UK broadband users are currently paying more than necessary, largely because they remain on out-of-contract plans after their original deals expire.
New research from Go.Compare claims around 5.9 million broadband users are out of contract and could be paying higher prices, with the total potentially costing consumers up to £118 million each month.
With the providers’ annual price rises set to come into effect within days, the extra costs across all customers could reach £1 billion, and this could be one of the costliest months for those who haven’t reviewed their contracts.
The article continues below
Millions are paying more without realizing it
Around 11% of UK homes are out of contract and around 4% of users are unsure of their current contract status.
This lack of awareness means that some households continue to pay higher standard tariffs without actively choosing to do so, even when better broadband offers are available.
The timing of this situation adds further pressure, and the new adjustments could push bills even higher for those already on more expensive out-of-contract rates.
“Off-contract prices are almost always much higher than contract prices, with costs rising by around £20 per month or even higher in some circumstances,” said Catherine Hiley, spokesperson at Go.Compare broadband.
“For example, my own broadband price will increase by around £50 a month if I don’t switch at the end of the contract. So forgetting to compare offers and switch providers when your contract is up can be a very expensive mistake.”
Beyond contract status, it appears that many users are paying for broadband speeds that exceed their actual needs.
Data suggests that a significant proportion of customers could downgrade their packages without experiencing any meaningful change in performance.
For households that primarily use the Internet for basic tasks such as browsing or video streaming, lower speed levels may already provide sufficient performance.
At the same time, higher speed packets remain more relevant for environments with multiple users engaging in data-intensive activities simultaneously.
“While it’s tempting to go for the fastest speeds you can afford, there’s no reason to shell out if you’re only using your internet for basic activities.”
Out-of-contract customers retain the flexibility to move to new contracts without penalty, providing a direct route to reducing monthly costs.
Locking in a new deal before price increases take effect can prevent further increases while securing a lower rate for a fixed period.
Additional factors such as bundled services or promotional incentives can also affect the overall value of a package, although these vary between providers and contracts.
The broader pattern suggests that rising costs aren’t driven by a single factor — contract status, pricing structures and user choice all contribute to the final bill.
Follow TechRadar on Google News and add us as a preferred source to get our expert news, reviews and opinions in your feeds. Be sure to click the Follow button!
And of course you can too follow TechRadar on TikTok for news, reviews, video unboxings, and get regular updates from us on WhatsApp also.
