Broadband prices can be a minefield. Everyone just wants to get the best deal for fast, reliable broadband, but to get the cheapest cost, you really need to think about the following:
- Time-limited broadband deals
- Mid-contract price increases
- Your choice of broadband connection types
- Bundling TV, Phone, and Mobile products
Here’s our ultimate guide to the average UK broadband costs in 2023 to answer all your questions and help you get the best broadband deal. 👇👇👇
What was the average cost of broadband?
The table below shows the average UK monthly cost of different broadband types based on Ofcom’s latest published statistics.
| Broadband price | Standard | Superfast | Ultrafast |
|---|---|---|---|
| List price | £31.14 | £39.90 | £59.70 |
| Offered price | £24.41 | £33.83 | £49.82 |
- Standard broadband is advertised as less than 30 Mbps
- Superfast broadband is advertised as between 30 and 300 Mbps
- Ultrafast broadband is advertised as more than 300Mbps
Source: Ofcom’s Monthly Broadband Pricing Tracker Reports – June 2022 Nominal monthly pricing
How much is broadband a month in the UK?
The connection type you choose in your broadband deal is the biggest determinant of monthly broadband cost.
Here’s a general guide to the monthly cost of different broadband types, from cheapest to most expensive:
- Unlimited 5G/4G mobile broadband – £20-30 per month
- ADSL broadband – £20-£30 per month
- Fibre to the Cabinet broadband – £25 – £40 per month
- Openreach full fibre/Virgin Media Cable/Hyperoptic – £40 to £60 per month
- Starlink Satellite Broadband – £70 to £100 per month
Source: Advertised broadband prices by broadband providers in July 2023.
The availability of each type of broadband depends on local telecommunications infrastructure. Currently, about 48% of the UK has access to a full-fibre broadband connection.
The table of average broadband costs we’ve presented above is a UK average across all offered broadband plans and connection types as compiled by Ofcom, the telecoms regulator.
Source: Ofcom
Which areas are the most expensive for broadband?
The most expensive areas for broadband are remote locations where Openreach and other internet service providers haven’t laid any fibre optic or other cables.
Typically, these rural areas with sparse populations will have little if no 4G or 5G coverage, so mobile broadband is not an option either.
These remote locations must rely on expensive satellite internet services offered by Starlink or OneWeb. A current residential Starlink broadband package is £75/month with upfront costs of approximately £500 for the satellite dish and other hardware.
How much broadband data does the average person use per month UK?
The latest Ofcom 2023 Communications market report shows that the demand for data by British consumers continues to grow. In 2023:
- Mobile data consumption per mobile grew by 24% to 8 GB/month
- Tethered broadband consumption grew by 6% to 482 GB/month
The growth in data consumption is an expected result of the expanding availability of superfast broadband connections available to British consumers. Faster broadband connections allow superior quality streaming on services like Youtube and Netflix, which consume ever greater volumes of data.
What is Ofcom’s new price rise ruling?
Ofcom is currently reviewing inflation-linked in-contract price rises. However, the current rule is:
If your provider didn’t specify a price rise in your contract (either a fixed amount or inflation-linked) and then raises their prices, then you are free to exit your contract early and switch broadband provider.
Inflation (as measured by the CPI) rose into double digits towards the end of 2022 and the start of 2023, driven by increasing electricity prices.
Several of the biggest broadband providers have broadband contracts where monthly costs will increase with inflation each April. This resulted in significant mid-contract price rises in April 2023, affecting millions of households and triggering Ofcom’s investigation.
Ofcom is investigating the ability of consumers to understand this inflation-linked price rises and whether they can make an informed decision when comparing broadband deals.
Ofcom is expected to release its findings and decisions by the end of 2023. Here’s Ofcom’s webpage where they update their review status: Ofcom review of in-contract price rises.
Why is broadband so expensive?
Historical monthly prices offered by home broadband providers in the UK have been remarkably stable over the past five years.
| Standard | Superfast | Ultrafast | |
|---|---|---|---|
| June 2018 | £30.36 | £38.68 | £55.00 |
| June 2019 | £30.46 | £39.71 | £57.85 |
| June 2020 | £30.15 | £39.79 | £54.08 |
| June 2021 | £28.65 | £40.15 | £60.17 |
| June 2022 | £31.14 | £39.90 | £59.70 |
Source: Ofcom’s Monthly Broadband Pricing Tracker Reports – Monthly nominal list pricing,
However, in April 2023, that changed for many as households across the country were hit by double-digit mid-contract price rises triggered by the high inflation rates.
What are mid-contract price rises?
A mid-contract price rise is where your broadband increases the monthly cost of your broadband during your contract.
Broadband deals are typically advertised as a single monthly cost, but this can hide a contractual clause that allows your provider to increase this cost part way through your contract.
Here’s an example of a typical mid-contract price rise clause extracted from AquaSwitch Director Ben Brading’s own broadband contract.
Your monthly charges may increase each year from 2024 on or after 1 April by the Consumer Price Index (CPI) rate of inflation plus up to 3%. For example, if you‘re paying £30 per month, and the January 2024 CPI figure is 2%, we may apply an increase of up to 5%. At 5%, your monthly price would increase to £31.50 after 1 April 2024.
Over the last decade, CPI has hovered around 2%, making these mid-contract price rises manageable; unfortunately, in 2022, the CPI rose to above 8%, making these broadband price increases quite a shock to homeowners.
When did my broadband prices go up?
Most mid-month broadband price rises are scheduled for the 1st of April each year. The April 2023 mid-contract rise is the largest and is the result of the UK’s high inflation rate.
However, it’s important to remember that not all broadband providers have these mid-contract price rises, and some providers have decided to ignore their price rise clause and keep prices the same.
Let’s explore which of the biggest broadband providers had mid-contract price rises 👇
Which broadband providers increase your prices mid-contract?
Providers with annual increases built into their broadband contracts:
Providers who cancelled 2022 price rises built into their contracts:
Providers with annual increases but allow you to leave early:
Source: In-contract price mechanisms, by leading providers: 2022 – Ofcom.
It’s worth noting that this data is from 2022, as per Ofcom’s latest publication.
Since Ofcom started probing the transparency of mid-contract pricing rises, broadband providers are changing their policies regarding mid-contract price increases.
When choosing your next broadband deal, it’s essential to read and understand the terms of your new broadband contract before signing up to your new contract.
Why does the cost of broadband change per location?
When a broadband provider releases a new offer, say BT Full Fibre 500 Mbps, the price will be the same whether you live in London, Liverpool or Llanberis.
The broadband price at your home depends on the broadband technology available at your location. The following broadband connection types have their pricing (from most expensive to least).
The cost of providing broadband varies significantly depending on your connection type. For instance, full-fibre broadband requires the installation of a dedicated fibre cable into your home, which naturally costs more than a standard fibre connection that relies on the phone cables you already have.
How can I reduce the cost of broadband?
Ofcom’s latest pricing trends for broadband provide some valuable insights for getting cheaper broadband. Here are the three biggest tips for reducing the cost of broadband:
Bundling products
Ofcom’s analysis shows that consumers who bundle a broadband deal with other services like mobile and TV achieve the best deal, saving between 9 and 39%.
The biggest broadband providers offer various additional services and will reward new customers who sign up for multiple products simultaneously. When comparing broadband deals, it’s worth considering also signing up to:
- Mobile services
- TV services
- Phone
Social broadband
Encouraging cheap social broadband tariffs is a priority of Ofcom, the regulator. Social tariffs are designed to make broadband affordable for people struggling to pay their bills.
Social tariffs offer a basic package that provides significantly cheaper broadband than other tariffs being offered.
Check out our full guide to social broadband tariffs.
Broadband deals
The average broadband costs above show a 20% difference between the list price and offered price for broadband.
Broadband providers regularly offer time-limited broadband deals to attract new customers. Check out the latest broadband deals on our cheap broadband page.
Compare the latest deals with AquaSwitch
We hope this article has been useful and you feel better equipped to find the best broadband deal and reduce costs.
At AquaSwitch, we also help small businesses find a better broadband deal; here are our business broadband comparison services:
