You are here: Home - Household Bills - News -

A third of households overpay for broadband

Written by: Emma Lunn
The average consumer currently paying too much for their internet connection could save £93 per year, according to Broadband Savvy.

Research by the price comparison site found that 31% of UK households overpay for broadband based on their usage requirements.

The study compared prices paid for broadband with household internet usage, including streaming, gaming, email, and web browsing.

It found that households currently overpaying could save an average of £93 per year by switching to a better value broadband deal.

The study found that 26% of consumers simply bought a broadband deal with download and upload speeds similar to their previous package – even if their broadband needs had changed.

Almost a fifth (19%) relied exclusively on broadband provider websites to determine how much speed they needed, and 12% simply guessed what their broadband requirements might be before picking a provider and plan.

Tom Paton, founder of Broadband Savvy, said: “Part of the problem is that once you sign a contract, it’s very difficult to change if you get the wrong speed, especially if you want to switch to a cheaper package.

“There’s nothing wrong with paying for more bandwidth if you want the luxury of faster internet. However, many households are overpaying not by choice, but because it’s so difficult to find out how much bandwidth you need before you put pen to paper. Consumers do not have an accessible, easy-to-use way of calculating how much internet speed they really need, given their internet usage.”

Of those who paid the household broadband bill each month, 21% said that they had no idea how much broadband speed they were paying for.

The study also found that consumers were just as likely to pay for insufficient internet speeds based on their usage. Nearly four in 10 (37%) required more speed based on their usage than the package they were currently paying for offered.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get in the second lockdown?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
More than 20,000 apply for Green Homes Grant scheme

Nearly 21,000 applications have been made under the government’s Green Homes Grant voucher scheme, offering up to £5,000 to make...