The mobile phone industry in the UK is no exception to the rising cost of living, with prices for mobile phone services increasing due to the growing rate of inflation.
Each year, in March or April, many mobile networks adjust their prices based on the rate of inflation using either the Consumer Prices Index (CPI) which is calculated in December of the previous year, or the Retail Prices Index (RPI) which is calculated in January of the current year.
The soaring inflation over the last year in the UK (and worldwide) has caused the price of goods and services to become more expensive, and as a result, many mobile networks have announced price hikes for 2023.
When set out in their terms and conditions, mobile network operators can increase their prices mid-contract by the rate of inflation (using either CPI or RPI figure) plus an extra amount on top (usually around 4%).
Mobile network price increases for 2023
The December 2022 CPI figure is 10.5% (published in January 2023).
The January 2023 RPI figure is 13.4% (published in February 2023).
| Mobile Network | How much is the price rise | When will the price increase |
|---|---|---|
| 14.4% (CPI + 3.9%) | 31 March 2023 | |
| 14.4% (CPI + 3.9%) | 31 March 2023 | |
| 17.3% (RPI + 3.9%) | 1 April 2023 | |
| 14.4% (CPI + 3.9%) | 31 March 2023 | |
| 9% (on average) | 14 February 2023 | |
|
14.4% – if joined after 31 October 2022 4.5% – if joined before 1 November 2022 |
1 April 2023 | |
| 17.3% (RPI + 3.9%) | 1 April 2023 | |
|
14.4% – if joined before 24 February 2022 (No rise until April 2024 if you joined after) |
1 April 2023 | |
| Note: Your mobile price increase (if any) may be different from the figures listed. Always check your contract and any communication you have received from your mobile network provider for the exact amount and date of any price rise. | ||
Switching to a new mobile provider
If you are out of contract then you are free to leave penalty-free at any point, and since most of the best mobile deals are offered to new customers, it can be cheaper to switch mobile networks to one that provides you with a better mobile offer for your needs.
Switching has never been easier, and by using a PAC code, you can keep your existing phone number and transfer it to your new mobile SIM card.
If you are still in contract then the new price increase will most likely be part of your contract, meaning that you won't be able to cancel your mobile plan without having to pay penalty fees.
There are however a couple of exceptions:
Sky Mobile — price hikes on Sky Mobile plans are not written into the contracts, so you can leave penalty-free within 30 days of being notified about the increases.
Virgin Mobile — price rises for this year were not written into the Virgin Media contracts, so you can leave within 30 days of getting a price increase notification without having to pay any early termination fees.
Why are mobile prices rising?
The price increase in mobile phone service is certainly not good news for customers, but it is important to remember that this is due to the rate of inflation, and is not a decision made by the mobile networks alone.
The CPI and RPI is used to set the annual rate of inflation for the UK and is an important factor in the UK economy, so it is understandable that mobile networks have to increase their prices to keep up with higher operating costs and rising energy prices.