BT home phone and broadband customers who have no interest in watching, or are fed up with paying for, the telecoms giant’s “free” sports offer now have several cheaper rivals to choose from.
Last Saturday BT said it is raising its home phone and broadband prices by almost 6.5%, prompting some to question whether the £1 billion plus spent on developing BT Sport is being passed on to customers, whether they watch it not.
From 1 December BT is increasing the cost of its landline by £1 to £16.99 per month – meaning the landline alone will cost over £200 a year, reduced to £170 for prepay customers. The company is also increasing the cost of many home phone and broadband services by up to 6.49%, or four times the rate of inflation.
Many customers will be shocked at how much the 1571 answerphone service now costs. In January this year, BT began charging £1.75 a month, equal to £21 a year, for what was until then a free service. Just eight months later it is pushing through another price rise, taking the cost to £22.20 a year, coming into force in December.
Note, BT customers in the middle of a contract can leave penalty free as a result of these price rises, as long as they tell the firm within 30 days of receiving notification of the changes.
So if you want to swap to lower your BT phone/broadband bills where should you go? Primus, TalkTalk and Plusnet stand out as the budget alternatives. Primus is the cheapest (just) - its landline costs £14.95 and broadband can be added for £2 for six months and then £4/month thereafter, with £15 cashback. Primus has a mixed customer service record, meaning we do not wholeheartedly recommend it.
TalkTalk, BT’s main rival, offers a better overall deal. Its charges are significantly less than BT’s – its broadband is £1.75 a month for the first 12 months, and £3.50 thereafter. Its anytime calls package is £5 a month compared with BT’s £7.50 a month. The landline is £1 a month cheaper at £15.95 and it has a strong rival TV package.
TalkTalk’s customer services is much better than it was – but still not perfect, although the price represents a big saving over BT. Its voicemail service is free and its prepay annual landline fee is £172.20 – a little higher than BT’s. Customers may well be better off taking advantage of TalkTalk’s 15% discount if the bill is paid early each month.
The third firm to consider is Plusnet. It is actually owned by BT but is cheaper and has better customer service. Again it currently has a special offer – broadband for £2.50/month – for 12 months and £9.99 thereafter, although a deal will be available again come renewal. Users can add anytime calls for £5 a month. Its landline costs £15.95 a month. Its call centre is based in Sheffield, so you won’t have to phone abroad if there is a problem.
As with all utility contracts, the secret is to remember when the initial deal runs out and then sign a new one on good terms or switch. Customers who simply let an initial discount deal lapse always end up paying more.
