NOW Broadband to increase prices by £3 per month

30 May 2024 10:43   By Lyndsey Burton

Monthly prices for NOW Broadband services are going up by £3 per month from July 2024.

NOW Broadband have released an announcement to existing broadband customers that their prices will be rising by £3 per month from 5th July 2024.

Prices will rise automatically, but customers can choose to end their contract early without penalty if they give notice within 31 days.

The announcement follows other providers who raised prices in April, with Sky broadband prices having increased between £1 and £4 per month.

now broadband
Now Broadband

NOW Broadband price hike

NOW Broadband, owned by Sky, are writing to let existing customers know their prices will be increasing by £3 per month from 5th July 2024.

The price rise will apply to all membership plans including Brilliant Broadband, Fab Fibre, and Super Fibre, and even customers on introductory offers will see their price go up.

Those still within a minimum term contract however, are being given 31 days from the date they were notified of the price rise to end their contract early without having to pay any early termination charges.

Customers who want to switch broadband deals will have to act quickly though, as exit fees will only be waived during this 31-day grace period.

One important point to note is that customers on NOW Broadband's social tariff - NOW Broadband Basics - won't be affected by this price rise, as social broadband tariffs are protected from annual price hikes.

NOW Broadband's statement reads, "At NOW, we're all about bringing you great value and reliable broadband so you can stay connected to everything you love. That's why we've invested in growing our broadband network capacity by 24% since 2022, reducing congestion so you can get faster speeds, even at peak times.

"We understand that things are tough right now, and so alongside investing in improvements, we're committed to keeping prices as low as we can. The costs of providing services have, however, increased significantly, and it's affecting the entire industry.

"Many other providers have raised their prices, and we'll be making some changes too. The prices of our broadband membership plans will be going up by £3. You'll see the price change reflected in your bill on or after 5 July 2024.

"You don't need to do anything - your NOW Broadband will continue as usual. We hope you'll continue to enjoy our services, but if you're not happy with these changes, you can cancel your NOW Broadband Membership. If you're within your minimum contract period, give us a call on 0330 041 2498 within 31 days of receiving the price increase notification to avoid early termination charges. You can check the details of your membership by heading to My Account."

Annual price rises

This move from NOW Broadband follows other major providers who increased their prices in April 2024.

NOW Broadband's parent company Sky for example, increased prices for broadband and TV customers by an average of 6.7%. This equated to increases around £3 to £4 per month on their Superfast, Ultrafast, and Gigafast broadband plans.

Indeed, last year, NOW Broadband prices were also increased by £3.50 per month, so this round of annual price hikes is at a similar level, albeit a little cheaper.

It's interesting to note that NOW Broadband's pounds and pence price rises are already in line with proposals from Ofcom to change the way providers can hike prices.

While a final decision is still pending, BT have already announced they would be moving their pricing policy in early summer 2024 from inflation-linked price rises to a pounds and pence method, with broadband prices increasing by £3 per month.

It's arguably clearer and more transparent to move away from future-based figures like the Consumer Price Index, however a pounds and pence method has the unwanted side effect of effectively locking in what could be above inflation price rises instead.

A £3 increase on an average broadband bill of £35 equates to a rise of 8.5%, while inflation now sits at just 2.3%.

NOW Broadband's current pricing of £21 increasing by £3 per month is a rise of more than 14% for example, which while more palatable at "£3" is effectively as high as the rises seen in 2023 which prompted Ofcom to take action in the first place.


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