From 1 April 2023 we’re increasing the standard monthly charge of some of our products and services by 14.4% as outlined in your contract terms and conditions. This increase is in line with the Consumer Price Index (CPI) % inflation rate published by the Office for National Statistics on 18 January 2023 which was 10.5% plus an additional 3.9%.
To give you an example of what this means, here are some of our popular products and plans and how pricing would change. Prices are exclusive of VAT.
|
Product |
Current Monthly Price up to 31 March 2023 |
Price goes up by approx. this much per month |
|
PSTN Exchange Line - 12 month contract |
£33.89 |
£4.88 |
|
ISDN2 Low Start (2 Channels) - 12 month contract |
£71.49 |
£10.29 |
|
ISDN30 per Channel - 12 month contract |
£32.47 |
£4.68 |
|
Featureline - 12 month contract |
£42.63 |
£6.14 |
|
Broadband Essential - 12 month contract |
£35.42 |
£5.10 |
|
Superfast Enhanced - 24 month contract |
£53.78 |
£7.74 |
|
Superfast Essential + Value Line Bundle - 24 month contract |
£34.95 |
£5.03 |
|
Superfast Enhanced + Value Line Bundle - 24 month contract |
£49.95 |
£7.19 |
|
BT Cloud Voice Basic User - minimum period of 1 year |
£9.19 |
£1.32 |
|
BT Cloud Voice Connect User - minimum period of 1 year |
£12.59 |
£1.81 |
|
BT Cloud Voice Collaborate User - minimum period of 1 year |
£19.46 |
£2.80 |
|
BT Cloud Phone Basic and Inclusive 500 UK minutes - 24 month term |
£14.21 |
£2.05 |
|
BT Cloud Phone Collaborate including Unlimited UK minutes - 12 month term |
£30.61 |
£4.41 |
| Now find out which products are increasing on 1 April 2023. |
||
Why we’re making these price changes
We realise no one likes price rises or new charges being introduced. However, we need to review our offerings to ensure that our products remain competitive and that we can invest in the future of the company. This is so we can continue to offer things like Fibre Broadband and a superior service at competitive prices.
We’re trusted by more businesses than any other UK ISP with the vital line and broadband services that keep businesses running efficiently. Although we’re reluctant to raise prices or introduce new charges, business owners know that the reliability and service we offer are important factors.
That’s why we offer our standard line customers BT Prompt Care, targeting repair by the end of the next working day. Customers can also opt for Critical Care, where we aim to fix a line within 6 hours.
We also prioritise business broadband traffic at peak times and make sure our network does not slow down due to overcrowding. And we offer some great value options for business customers to help you keep control of your costs
We increase the standard monthly charge of some products and services as outlined in your terms and conditions of contract. We do this from 1 April every year using the CPI % inflation rate published in January that year, plus an additional 3.9%
You can check your terms and conditions in BT Business Terms | Our Terms and Conditions
What is the Consumer Price Index?
The Consumer Price Index (CPI) is a figure published by the Office for National Statistics (ONS) as a measure of inflation. It’s a reliable measure to reflect the increase in costs to run and invest in our network and the services we provide.
CPI is a measure of whether the cost of goods and services is going up or down. It’s based on average price changes from across several industries. It measures inflation by taking a basket of goods (things like food, clothes, petrol etc.) looking at what they cost last year, looking at what they cost now, and finding the difference.
However, the CPI leaves the costs of your home out of the basket (things like rises in mortgage payments, rents, and council tax) so they don’t get reflected in it.
The ONS publishes a new CPI inflation rate every month.
Find out more about CPI from the Office of National Statistics.
The CPI % inflation rate we’ll be using
The CPI % inflation rate figure we’ll use is the December % inflation rate figure. This is published by the ONS in January of each year and it measures the average change in prices for consumers across the country, over the last 12 months.
What is CPI plus 3.9% and how do you work out the increase?
CPI + 3.9% is the CPI % inflation rate figure plus 3.9%.
A new % inflation rate is published by the ONS every month. We’re using the December 2022 % inflation rate figure published in January 2023.
We’ll adjust standard monthly charges as outlined in your terms and conditions of contract by this amount, plus an additional 3.9% from 1 April of the same year.
As an example, for a monthly price of £40, if we used a CPI % inflation rate figure from December 2022 of 2.0% and then add 3.9% (2.0% + 3.9% = 5.9%) the monthly price would go up by £2.36 on 1 April 2023.
If the CPI % inflation rate figure is negative in the relevant year, then we’ll only increase monthly charges by 3.9%.
Does pricing decrease if the CPI % inflation rate is negative?
No, in this scenario we’ll take the CPI % inflation rate to be 0%, so the price increase will only be 3.9%.
Why we add 3.9% to the underlying CPI % inflation rate
As the UK continues to embrace digital technologies, the demand for the connectivity and services that we provide is always rising. To maintain the quality of our network for our customers we’re continually investing in it which is expensive.
The CPI element of our annual price increases enables us to continue running our network considering cost and wage inflation. The 3.9% lets us continually invest in the UK’s digital future. Things like improving our customer service and propositions and increasing social inclusion through widening our network footprint.
Are plan discounts affected?
You’ll still receive any discounts you get, and these will be applied to your new standard monthly charges.
Can I cancel my contract?
Yes, you can, but if you cancel your service before the end of your minimum contract term, you’ll need to pay a termination charge for cancelling early.
If you’re outside of your minimum contract term, you can end your service at any time without termination charges, but bear in mind that other charges may apply if you want to cancel services that are not affected by a price increase.