MILLIONS of people on low incomes are missing out on hundreds of pounds a year in savings as providers fail to promote their discounted social tariffs.
BT and Sky have both been singled out by regulator, Ofcom, for the way they ‘hide’ their cheaper offerings.
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Social tariffs are special low-cost broadband and phone deals offered to customers in receipt of certain benefits such as Universal Credit.
They are typically cheaper than standard tariffs, and range from £10-£20 a month.
Most offer super-fast speeds of more than 30 Mbps, and aren’t usually subject to price rises or exit fees.
More than 4million households in the UK are thought to be eligible and stand to save £250 a year, on average, according to Which?.
But many people who can benefit from switching aren’t aware such tariffs are available.
Firms offering this type of deal have a page dedicated to it, but in some cases finding information about them on provider websites “remains challenging”, Ofcom said.
The regulator recently said: “In particular, BT and Sky continue to have no clear navigation route to the social tariff from their home page or their main broadband page.”
By contrast, it added that Vodafone and Virgin Media as well as many smaller providers, do include their social tariff in their navigation, or link to it from their main broadband home page “making it easier for customers to find information.”
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The Sun has long been campaigning for providers to introduce – and better promote – social tariffs to help the most hard-up households.
It has been calling on the Government, Ofcom and suppliers to do more to support struggling customers, and make it easier for the financially vulnerable to switch to a discounted tariff.
It comes as Ofcom announced further steps to make firms do more to help vulnerable customers access discount deals.
This includes pushing suppliers to take immediate steps to raise awareness of existing social tariffs and drive consumer take-up.
Ofcom has also agreed to push broadband and mobile providers who have yet to introduce social tariffs to offer them, as well as waive fees for those who want to switch to such a deal.
Ofcom boss, Dame Melanie Dawes, said companies need to “step up again” after the pandemic and help in the cost of living crisis.
She said: “We’ve put pressure on providers to offer social tariffs for those most in need, but that’s only half the problem.
“Only 5% have actually switched to one of these cheaper packages. This means millions are missing out.
“It’s not enough to expect people to find out about these by themselves.
“Providers must act now to make sure customers know what support is available.”
Consumer body Which? has made similar calls after finding broadband firms “aren’t doing nearly enough” to advertise their social tariff offerings on their websites or social media.
Rorio Concha, Which? Director of policy and advocacy, said: “Millions of households could be missing out on hundreds of pounds of savings during an unrelenting cost-of-living crisis.
“With just one in 10 finding out about social tariffs through their provider, firms need to step up their efforts to promote their social tariffs to low-income consumers and ensure people aren’t missing out unnecessarily.”
Which? urged anyone who thinks they could be eligible for a social tariff to get in touch with their provider as soon as possible.
Concha added: “Switching to these discounted rates could halve your bills overnight.”
How to find cheap social tariffs
Separate new research by comparison service, Broadband Genie, carried out for The Sun, shows a big discrepancy in the way firms promote their social tariffs.
BT and Sky were found to offer no information to customers about its social tariffs on their homepages.
EE and Plusnet, whose customers are eligible for BT’s social tariffs, also don’t show their availability.
Now, which is part of Sky, does not show the cheap deal on its homepage either.
A spokesperson for BT (which covers all of BT’s consumer brands, including EE and Plusnet), said: “We welcome the Government’s increased focus on social tariffs, and are keen to work more closely to discuss ideas for a better approach to support those who are hardest hit by the cost-of-living crisis, such as the introduction of funding.”
Sky and Now Broadband were also approached for comment.
Alex Tofts from Broadband Genie said: “Providers should all be offering social tariffs, and shouting about them from the rooftops.
“Instead, some of the UK’s biggest companies are hiding these offers in the far reaches of their websites, while others do not have them at all.”
There are fears this is contributing to a lack of awareness about social tariffs.
“This is hugely damaging,” said Tofts. “Unless it is addressed, we will only see more lower-income households sliding into digital poverty.”
You’re likely to qualify for a social tariff if you receive a means-tested benefit, such as Universal Credit or Pension Credit (Guaranteed Credit).
Some extend support to those on Council Tax Support, Income Support, Jobseeker’s Allowance, and Employment & Support Allowance.
But the exact criteria is set by each firm and can be different depending on who your provider is.
Alex said, if you think you are eligible for a social tariff, check with your broadband provider as soon as possible to see if they have one.
Simply call up and see if you can get moved onto it. You do not need to wait for your current contract to expire
If your current supplier does not offer one, they should allow you to switch to a provider that does – without an exit penalty
If you’re not eligible for a social tariff, but are struggling with your broadband costs, contact your provider immediately, as they may be able to help
If you are out of contact, you will also be able to save money by switching to another supplier.
Ofcom has a list of the providers currently offering social tariffs
Which firms offer cheap tariffs and how much can I save?
The exact amount you can save will depend on how much you are paying now and the cheaper deal on offer.
Gina Hackett, from Derby, who is on Universal Credit, discovered she could reduce her monthly broadband bill from £40 to £15 by switching to BT’s Essentials tariff – saving her £300 a year.
Chantelle Doyle, from Surrey, who is also on Universal Credit, found she could slash her Sky broadband bill from £39 a month to £20 a month, saving her over £200 a year.
BT offers ‘Home Essentials’ with two options on download speed. You can opt to pay £15 a month and get 36 Mbps, or £20 a month and get 67 Mbps.
That compares to the usual monthly price of £31.99 for the lowest speed.
Sky offers ‘Broadband Basics’ costing £20 a month, and you get 36 Mbps.
Full price that would normally cost £25 a month.
Virgin Media offers two options. Essential Broadband costs £12.50 a month and you get 15Mbps, while Essential Broadband Plus costs £20 a month, and you get 54Mbps
That’s up to £17.50 a month less than its cheapest broadband-only standard tariff.
Here’s a summary of some of the biggest social tariffs on offer right now.
It’s worth noting that BT, EE and Plusnet broadband customers can all switch to BT social tariffs.
- 4th Utility Social Tariff: £13.99 a month for 30Mbps (England)
- BT Home Essentials: £15 a month for 36 Mbps (UK)
- BT Home Essentials 2: £20 a month for around 67 Mbps (UK)
- Community Fibre Essential: £12.50 a month for 20Mbps (London)
- Country Connect Social Tariff: £15 for 50 Mbps (Wales)
- Hyperoptic Fair Fibre 50: £15 a month for 50 Mbps (England, Scotland, Wales
- Hyperoptic Fair Fibre 150: £20 a month for 150 Mbps (England, Scotland, Wales)
- Now Broadband Basics: £20 a month for 36 Mbps (UK)
- Sky Broadband Basics: £20 a month for 36Mbps (UK)
- Virgin Media Essential Broadband: £12.50 a month for 15Mbps (UK)
- Virgin Media Essential Broadband Plus: £20 a month for 54 Mbps (UK)
- Vodafone Essentials Broadband: £12 a month for 38 Mbps (UK)
- Voxi for Now: £10 a month for 5G where available (UK)
TalkTalk doesn’t offer social tariffs, but does give jobseekers six months of free broadband through a voucher scheme.
