O2 CUSTOMERS face a £30 bill rise this coming April, but there is a way to cancel for free.
The mobile phone provider said new and re-contracting customers would be hit with a £2.50 price rise in their monthly bill midway through their contract.
The price rise is up from its current rate of £1.80 and will come into effect in April 2026.
The change means users will face a £30 bill rise over the next year, which is 40% more than what they were told.
Speaking last week, an O2 spokesperson said: “With demand for mobile data at an all-time high, we’re introducing a 70p per month increase to annual price rises for O2 customers, effective each April.
“An annual rise of £2.50 a month – around 8p a day – continues to represent excellent value for services that customers are using more than ever before.”
Meanwhile, O2’s data only mobile broadband and Smartwatch customers will continue to see an annual price increase of 75p.
Out of bundle charges will continue to increase by 5% on April 1.
How YOU can exit for free
Mobile phone and broadband providers can often slap customers with a fee if they try to exit their contract early.
But in this instance, O2 customers on the hunt for a cheaper deal can leave free of charge.
Rules laid out by regulator Ofcom give consumers more protection in instances like this.
When providers don’t specify in advance what the price rise will be customers have the right to exit without getting charged.
O2 has begun writing to those affected. Customers have up to 30 days to leave the telecoms firm after being informed of the change.
You can end your contract by signing into your My O2 account or by visiting, http://www.o2.co.uk/contactus.
It comes as telecoms firms were ordered by Ofcom to display mid-contract price increases in the form of pounds and pence from January 17.
Prices are usually hiked in April in line with either the Consumer Price Index (CPI) or Retail Price Index (RPI) measures of inflation plus up to 3.9%.
Under the new rules, customers must be shown by their broadband or mobile provider exactly how much their bill is going up by in April.
This is so customers understand how much their contract will go up by before taking it out, rather than it being linked to future inflation, which can go up or down.
How to save
Shopping around for a better deal is one of the best way to cut down on mobile and broadband costs.
But if you’d rather stay with your own provider, try haggling for a new offer by calling your network and threatening to leave.
Find the cheapest deal on the market, which you can use as a bargaining tool to get a better offer.
Visit comparison sites including Uswitch.com or Moneysavingexpert.com to find a deal suitable for your needs.
Cut your telecom costs
Switching contracts is one of the single best ways to save money on your mobile, broadband and TV bills.
But if you can’t switch mid-contract without facing a penalty, you’d be best to hold off until it’s up for renewal.
But don’t just switch contracts because the price is cheaper than what you’re currently paying.
Take a look at your minutes and texts, as well as your data usage, to find out which deal is best for you.
For example, if you’re a heavy internet user, it’s worth finding a deal that accommodates this so you don’t have to spend extra on bundles or add-ons each month.
In the weeks before your contract is up, use comparison sites to familiarise yourself with what deals are available.
It’s a known fact that new customers always get the best deals.
Sites like MoneySuperMarket and Uswitch all help you customise your search based on price, allowances and provider.
This should make it easier to decide whether to renew your contract or move to another provider.
However, if you don’t want to switch and are happy with the service you’re getting under your current provider – haggle for a better deal.
You can still make significant savings by renewing your contract rather than rolling on to the tariff you’re given after your deal.
If you need to speak to a company on the phone, be sure to catch them at the right time.
Make some time to negotiate with your provider in the morning.
This way, you have a better chance of being the first customer through on the phone, and the rep won’t have worked tirelessly through previous calls which may have affected their stress levels.
It pays to be polite when getting through to someone on the phone, as representatives are less inclined to help rude or aggressive customers.
Knowing what other offers are on the market can help you to make a case for yourself to your provider.
If your provider won’t haggle, you can always threaten to leave.
Companies don’t want to lose customers and may come up with a last-minute offer to keep you.
It’s also worth investigating social tariffs. These deals have been created for people who are receiving certain benefits.
