Mobile Phone and Broadband Prices

Lord Sikka Excerpts

Tuesday 9th December 2025 Lords Chamber

Asked by

[Lord Sikka]

To ask His Majesty’s Government what steps they are taking to ensure price increases by mobile phone and broadband companies are fair.

[The Parliamentary Under-Secretary of State, Department for Business and Trade and Department for Science, Innovation and Technology (Baroness Lloyd of Effra) (Lab)]

It is important that customers feel empowered in engaging in the telecoms market, and confident that they are getting a fair deal. We support Ofcom in taking action to protect fairness and transparency, and welcome its recent steps to remind consumers of their rights. The Chancellor and Secretary of State have written to the CEO of Ofcom and the CEOs of major telecoms companies urging further, faster action to ensure that consumers are treated fairly.

[Lord Sikka (Lab)]

My Lords, I thank the Minister for her Answer. Phone and broadband companies such as O2 have violated Ofcom’s voluntary code and imposed unjustified mid-contract price hikes on customers. The old and vulnerable are hit hard, as they are less likely to shop around. Inflation and poverty are baked into the system. As reducing the cost of living is a government objective, will the Minister enact legislation to ban mid-contract price rises? Statutory rights are the only effective antidote to corporate abuse of power.

[Baroness Lloyd of Effra (Lab)]

My noble friend is right to highlight the importance of the ability to have the right contract and of giving consumers the information they need. We have no plans to ban in-contract price rises, but consumers have the right to leave, penalty-free, for 30 days from when unexpected price rises are announced by a provider. The Chancellor and Secretary of State asked Ofcom to review the suitability of the current 30-day notice period, to ensure that it can be enacted by consumers who experience unexpected and unannounced mid-contract price rises.