The rule is short, and it changed everything about reading a mobile contract. Ofcom banned inflation-linked and percentage-based rises in new contracts from 17 January 2025; any rise must now be set out in pounds and pence at the point of sale. That means a new contract can still go up in price during its term, but the increase can no longer hide behind an inflation figure nobody can predict at signing. It must be written down, in pounds and pence, where the customer can see it before agreeing. Everything that follows — how to compare deals, what older contracts still do, and where savings actually hide — flows from that one change.
Before the ban, the complaint that came up above all others was the price rise that arrived in the middle of a contract. Customers who signed up for a deal they believed was fixed often discovered, months later, that their monthly payment had gone up, sometimes more than once during the same contract. The increase might be only a few pounds a month, but over the remaining term it added up, and for households already managing rising costs across food, energy and housing, it felt like an unwelcome surprise. The root of it lay in terms and conditions that reserved the right to increase prices during the fixed term, usually once a year, in line with inflation or by a set amount specified in the contract. That clause was often buried in lengthy terms, summarised in small print at the point of sale, and easily overlooked by customers focused on the handset, the data allowance and the headline monthly price. Providers, for their part, argued that their own costs rise, including network investment, energy and wholesale charges, and that annual adjustments were necessary to maintain and improve services.
The old contracts still running
The ban applies to new contracts. Customers on older deals may still have rises linked to inflation, which means the exact amount cannot be known until the relevant figure is published. The distinction matters a great deal. A contract that states a future rise in pounds and pence allows a customer to calculate the total cost over the term and to compare deals on a like-for-like basis. A contract linked to inflation leaves that total uncertain, and a customer may face a larger rise than expected if inflation is high. That is why consumer advisers urge shoppers to look beyond the initial monthly price and to ask a simple question before signing: will this price change during the contract, and if so, by how much and when? The answer, which should be provided in the contract summary, can transform the apparent value of a deal.
For customers already in a contract that has risen, the options depend on the terms they signed and on how the rise was communicated. In some cases, a price rise above a certain level, or one that was not properly notified, may give the customer a right to leave the contract without penalty, within a window after being told about the increase. That right is not automatic in every case, and it depends on the specific terms and on regulatory rules in force at the time, so customers should check their contract and the notification they received, and seek advice if they are unsure. Citizens Advice and other consumer organisations can help customers understand their position, and the provider's complaints process is the first step if a customer believes a rise has been applied incorrectly.
Reading the contract summary
The contract summary is the document to read, not the advertisement. It should state whether the price can rise, by how much, and when. For a new contract, that rise will be in pounds and pence. Work out the total cost over the full term, not just the first month's price. A deal that looks cheap initially may become expensive after a mid-contract rise, while a slightly higher initial price with a fixed term may work out cheaper overall. Sim-only deals, which are usually shorter and cheaper than handset contracts, are worth considering for customers who already own a phone or are happy to buy one outright. They offer more flexibility, allow customers to switch more easily, and often avoid the long lock-in that makes mid-contract rises so frustrating.
Cutting the bill without switching
Beyond the contract itself, there are practical steps that can reduce a mobile bill. Many customers pay for data, minutes or extras they rarely use, and a quick review of actual usage over recent months can reveal savings. Reducing a data allowance, dropping unused add-ons, or moving to a cheaper plan that better matches real usage can all cut the monthly cost without any loss of service that matters. Providers are required to provide usage information, and many offer apps that show data, calls and texts in real time, making it easier to spot waste.
If paying is hard
For customers struggling to pay, help is available, and asking early is the better course. Providers are expected to treat customers in financial difficulty with care, and may offer payment plans, temporary reductions or a move to a cheaper tariff. Social tariffs, discounted deals for people on certain benefits, are offered by some providers for broadband and mobile, and are worth asking about. Ignoring a bill that cannot be paid only makes the situation worse, as arrears can affect credit records and lead to disconnection. Contacting the provider early, explaining the difficulty, and asking what support is available is always the better course.
Verdict
The debate about mid-contract price rises is unlikely to disappear, because many customers remain on older deals with inflation-linked rises and will continue to see their bills change during the term, even though new contracts must now state any rise in pounds and pence. The verdict for anyone signing now is therefore a narrow one, and it is in the customer's favour if they use it: a deal whose future rise is stated in pounds and pence can be costed, compared and judged before signing, while a deal whose rise is still tied to inflation cannot. Read the contract summary, total the whole term, and diarise the contract end date. The most powerful tool available to customers is information, and since January 2025, for new contracts at least, that information is finally written down in figures that can be checked.