Sky Mobile is implementing price increases for out-of-contract customers and adjusting various fees and charges, effective February 14. Approximately one million customers, representing about a third of Sky Mobile’s user base, are expected to be affected by the £1.50 monthly increase, which translates to an annual addition of £18. This fixed price hike contrasts with the inflation-linked increases typically employed by other mobile providers, who predominantly adjust prices around April 1st. Sky Mobile’s approach aligns with new Ofcom regulations requiring telecom companies to present mid-contract price increases in fixed pound and pence amounts, capped between £1 and £3 per month. In-contract customers will remain unaffected by these changes. Customers can verify their contract status through various channels, including contacting Sky Mobile directly, accessing their online account, or texting specific keywords to a designated number.
Beyond the monthly charge increase for out-of-contract customers, several other fees are being adjusted. International call rates to the EU and EEA are rising by 4p per minute to 25p, while calls to the rest of the world will see a more substantial increase from £2.50 to £3.50 per minute. Text messages to international destinations (excluding the EU and EEA) will increase by 20p, reaching 95p per message. Charges for calls to premium-rate numbers (starting with 084, 087, 09, and 118) are also being bumped up by 20p to 95p. Domestic picture messages will see a similar 15p increase to 95p. Finally, the International Saver Plan will see a £1 monthly increase, rising to £4. Sky Mobile justifies these changes as necessary investments to maintain service quality and provide competitive value.
These changes come amidst a backdrop of controversy surrounding mid-contract price increases within the telecom industry. For the past several years, providers have been criticized for implementing above-inflation price hikes on fixed-term contracts, often tied to the Consumer Price Index (CPI) or Retail Price Index (RPI). Soaring inflation rates linked to the cost-of-living crisis have resulted in significant bill increases for millions of customers, sometimes adding up to £50 annually. Telecom companies argue these increases are essential to cover rising operational costs, but consumer advocates contend that fixed contracts should maintain consistent pricing throughout their term. The recent intervention by Ofcom aims to regulate these increases and protect consumers from excessive price hikes.
The move by Sky Mobile towards fixed-sum increases diverges from the inflation-linked model adopted by other major providers. BT, along with its subsidiaries EE and Plusnet, has shifted away from percentage-based increases for new contracts since April 2024, opting for fixed monthly increases of £1.50 for mobile and £3 for broadband from March 2025. Vodafone has also implemented fixed increases of £1.80 for mobile and £3 for broadband, while TalkTalk increased broadband prices by £3 annually in April for new and renewing customers. Three has adopted a tiered approach for mobile increases, ranging between £1 and £1.50 depending on data allowance, and a fixed £2 increase for broadband. Tesco Mobile has also announced percentage-based increases for April 2025, translating to varied pound and pence additions depending on the existing monthly tariff.
Consumers seeking to manage their telecom costs are advised to actively compare deals and consider switching providers, particularly when their contracts are nearing renewal. Utilizing comparison websites like MoneySuperMarket and Uswitch can help identify the most suitable plans based on individual usage patterns. It’s crucial to evaluate not only the headline price but also the included allowances for minutes, texts, and data to avoid incurring extra charges for exceeding limits. Haggling with existing providers can also yield significant savings, especially when armed with knowledge of competing offers. Politeness and a strategic approach, such as calling during less busy periods, can enhance negotiation outcomes. Threatening to switch providers can sometimes prompt retention offers. Finally, eligible customers should explore social tariffs, which offer discounted rates for those receiving certain benefits.
Negotiating with providers can be an effective strategy for securing better deals. Timing your call strategically, such as aiming for mornings when call centers are less busy, can increase your chances of connecting with a more receptive representative. Maintaining a polite and respectful demeanor throughout the conversation is crucial, as representatives are generally more inclined to assist customers who approach them positively. Being well-informed about competing offers in the market strengthens your negotiating position. Presenting these alternative deals to your provider demonstrates your awareness of market prices and can motivate them to offer a more competitive package to retain your business. If your provider remains unwilling to negotiate, expressing your intention to switch can sometimes trigger last-minute retention offers. Companies are often motivated to retain existing customers and may offer improved terms to prevent you from leaving.