You can now cancel your contract when your phone bills go up

Ever wished you could escape from price hikes but were trapped in your contract? Now you can cancel it when the prices go up.

You can now cancel your contract within a month’s notice of a price rise in your plan. The new rules come courtesy of Ofcom, who states that broadband, landline, or mobile phone contracts must include at least one month’s notice if the agreed monthly price changes. 

Unfortunately, current contracts aren’t covered – this only applies to contracts which have been taken out as of January 23rd, 2014. Also, if your contract has a price change included from the start, then this won’t be covered either. 

Ernest Doku, of uSwitch.com, said: “Hopefully it will make providers think twice about increasing prices- they don’t want to lose customers two months into a 24-month contract, for example- but even if this move doesn’t stop prices going up, at least it gives consumers some power back.” 

However, Mr Doku also warned that, “there could be repercussions for mobile customers who got a ‘free’ handset with their deal: will they have to return it or buy it outright if they leave, or will we see the end of free devices? And as for those who’ve signed up to mobile, TV and broadband bundle deals, what happens if just one service becomes more expensive?” However, Mr Doku did conclude that “this move is a real win for consumers.”