UK communications regulator Ofcom has stated that internet providers could be doing more to help low-income households reduce their broadband costs.
As reported by the Daily Record, only around 1% of families have taken advantage of discount deals, even as the cost of living continues to soar.
Ahead of the changes to energy bills coming into place next month, Ofcom has said broadband providers should bring in and more effectively promote discounted packages.
READ MORE — ITV Our House: Viewers slam 'waste of time' Martin Compston drama after finale
The watchdog revealed that, even though broadband discounts are available to approximately 4.2 million UK households who receive Universal Credit, only around 1.2% of these have actually taken advantage of the deals.
As a result, millions of families on a low income are missing out on average savings of £144 each year.
It has now said that providers with these social tariffs in place should be promoting them more widely, and the ones who don't should introduce them as soon as possible, with quick and easy sign up options so more people can take advantage of the savings.
Networks and communications group director at Ofcom Lindsey Fussell stated: “People rely on their broadband for staying in touch, working and learning from home. But for those who are really struggling with rising bills, every penny counts.
"Special discounts can make all the difference, and too many broadband firms are failing either to promote their social tariff or to offer one at all. We expect companies to step up support for those on low incomes, and we'll be watching their response."
As revealed in new research, approximately 1.1 million UK households currently struggle to afford broadband, with this expected to worsen in 2022 as living costs continue to rise.
Ofcom said that six providers — BT, Community Fibre, G.Network, Hyperoptic, Kcom and Virgin Media O2 — have at least one discounted deal priced between £10 and £20 a month for broadband speeds ranging from 10Mbit/s to 67Mbit/s.
In addition to calling on others to introduce their own social tariff, Ofcom has urged these companies to make sure that the deals are adequately promoted and simple to sign up for.
It said that customers should not be turned off from applying because it appears difficult to prove they are eligible.
Strong Communities spokesperson at Citizens Advice Scotland Gillian Fyfe said: “These take-up figures are shocking. Low income families across the country are really struggling because of the rise in energy bills, the end of furlough and the reduction in Universal Credit. Saving £144 could be a lifeline for them, and yet it seems very few of them know about it or feel able to choose that option.
“The responsibility here lies with the broadband providers. It’s not enough for them simply to offer social tariffs. They need to make people aware that these options exist, and exactly how they should go about selecting these tariffs.
"CAS would also want to see eligibility for social tariffs extended so more people can take advantage of them and for social tariffs to also be offered in the mobile market."
She added: “The Citizens Advice network will do our bit to make people aware of social tariffs, but the providers themselves must also take responsibility to increase take up.”
