Are you missing out on cheap(er) broadband?

According to a new report by Ofcom – the communications regulator – millions of families are missing out on cheap broadband deals. They could be saving around £200 a year.

Around 4.3 million UK households could be getting these cheaper broadband deals, but only around 220,000 people – or 5% of households – are currently doing so.

And the main reason that people are not taking advantage of cheaper broadband is that they do not know about the deals available.

The cheap broadband deals are known as social tariffs. But what exactly is a social tariff, and who is entitled to it? And could you be one of the millions of people who could save money through switching to a social tariff? 

Let’s take a look at:

• What are social tariffs?
• Who is eligible for social tariffs?
• What are the advantages of social tariffs?
• How to apply for social tariffs.
• How to save money on broadband if you are not eligible for social tariffs.

What are social tariffs?

Social tariffs are low-cost broadband deals and phone packages. They are also sometimes known as essential or basic broadband. Social tariff broadband is provided in exactly the same way as any other broadband package, just at a lower price

Social tariffs are offered to customers on various benefits and usually cost between £10 and £20 a month.

Who is eligible for social tariffs?

Social tariffs are available from all participating broadband providers to people on:

• Universal Credit;
• Pension Credit;
• Employment and Support Allowance;
• Jobseeker’s Allowance;
• Income Support.

Some providers may also extend their social tariffs to people receiving Personal Independence Payment and Attendance Allowance.

The person who received the above benefit(s) needs to be named as the main person on the broadband contract.

What are the advantages of social tariffs?

If you are eligible for a social tariff broadband deal there are six main advantages:

• It is much more affordable than other broadband tariffs;
• There are usually very low set up costs, or none at all;
• If you are already with the same provider, you will not be charged anything extra for switching to a social tariff;
• A social tariff is usually a shorter-term contract with no early exit fees, so it is a much more flexible arrangement should your circumstances change;
• A social tariff price is fixed for the duration of your contract, so you will never have to pay more than what is agreed at the start of the contract.
• Most social tariffs offer superfast broadband at speeds over 30 Mbits;

How to apply for social tariffs

If you are already with a broadband provider, the first thing to do is to check whether your current provider offers a social tariff. Current providers include BT, EE, SMARTY, Community Fibre, NOW, Sky, Virgin Media, KCOM, Hyperoptic, G Network and VOXI. 

For a complete up to date list of providers check Ofcom’s current list of social tariffs

If your provider offers a social tariff, you can contact them and request to change to that tariff. If they don’t offer a social tariff you can switch to one that does. You can apply for most tariffs online, or call your provider of choice.

How to save money on broadband if you are not eligible for social tariffs

Even if you are not eligible for a social tariff, there are still a few things that you can do to save money on broadband. Here are five quick tips to help you do that:

• Check your current contract

Most broadband contracts are for a period of between 12 and 24 months. If you are out of contract, or your contract is about to run out, you are in a strong position to get a better deal with no exit fees to pay. 

• Contact your current provider

If you are out – or nearly out – of contract, contact your current provider and tell them you are thinking of switching providers they may well offer you a better deal to keep your custom.

• Look around for a better deal

As well as contacting your current provider, it is also a good idea to look around at other providers for deals you could get as a new customer. Then you have something to compare your current provider’s best deal with. And if you do decide to switch, it is easy to do this online or by text.

• Decide which TV channels and streaming services you want

It’s also a good idea to check all the TV channels and streaming services you are paying for. You may find that some are duplicated : for example some broadband providers now offer Netflix for free. You may also realise that you are paying for channels or streaming services that you don’t use any more. So when you are looking for a new broadband service, be clear about what is the best TV/streaming combination for you.

• Keep an eye on additional call and data costs

If your broadband service also includes a landline, and/or a mobile phone add-on, keep a careful eye on what you are using. If you regularly go over the amounts included in your tariff, the costs are likely to mount up quite quickly, and you could be better to change to a tariff with more minutes/data allowance included.

We hope that this article has given you some useful information about how to get the best broadband deals and save money on your bills. 

Check back here with us soon for more helpful financial and lifestyle tips from Loans 2 Go.