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Daily Mirror
Daily Mirror
Politics
Dave Burke

Families being 'cut off from internet' as broadband costs rise twice as fast as wages

Struggling families are being "cut off from the internet" as the soaring cost of broadband outstrips wage rises, Labour has warned.

Latest figures show that between 2015 and last year, broadband prices rose by more than 30% - while salaries went up by around 17%.

One in 20 households are struggling to pay for the service, with Labour blaming the government for allowing Openreach - the main broadband infrastructure provider - to charge companies more for network rental.

This meant providers like BT, Talk Talk, Vodafone and John Lewis increased charges by over 9% in just a year.

Shadow culture secretary Lucy Powell said: “Families face being cut off from the internet as a result of the Conservative cost of living crisis. Higher broadband bills are piling pressure on household budgets, on top of rising food, energy and fuel prices.

“Instead of fixing the cost-of-living crisis, the Conservatives are fighting with each other.

Labour's Lucy Powell has warned that squeezed families are finding it hard to pay for their connection (Getty Images)

"Labour would put money in people’s pockets right now by cutting VAT on energy bills and ending tax breaks for oil and gas producers.”

British adults spend an average of four hours online, 45 minutes higher than four years ago.

In February regulator Ofcom said 1.1 million households are struggling to pay broadband bills, and warned the situation would get worse through 2022.

Support is available for those on Universal Credit, but earlier this year Ofcom said just 55,000 of 4.2 million eligible households were taking advantage of discount schemes offered by six providers - BT, Community Fibre, G.Network, Hyperoptic, KCOM and Virgin Media O2.

A BT spokesperson said:“Our annual price rises are contracted and we make this clear when customers sign up.

"For those customers who need it, we provide affordable broadband at just £15 per month through our Home Essentials service – a price we froze this year.

"Like every business, we face huge inflationary pressures. At the same time, we are making massive investments in the digital networks that UK families and businesses need; our pricing makes that possible."

A Department for Digital, Media, Culture and Sport spokesman: "While price regulation is a matter for Ofcom, we have secured major commitments from broadband and mobile companies to help those struggling with bills and we continue to work with the sector on what more we can do.

"These include offering affordable tariffs, more manageable payment plans and allowing customers to switch a cheaper package free-of-charge.

"Those in need should contact their provider to see what help is available."

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