MILLIONS of households are facing a huge broadband “rip-off” where they’re spending more money for the same, or worse, service.
Customers could be paying up to £100 a year more for “superfast” internet that’s actually 10 times slower than the fastest deals on offer, an investigation by The Sun has found.
Broadband firms often bamboozle customers with confusing and complex names for their products.
A recent survey by Broadband Genie revealed that 63% of billpayers find broadband terminology confusing.
And a further 54% believe providers use these terms to extract more money from consumers.
We take a look at these complex terms which are leaving many households short-changed.
The majority of households connected to Openreach’s network are promised “superfast” internet.
But they often experience significantly reduced bandwidth compared to the fastest connections out there.
In contrast, homes with “full-fibre” or Virgin Media connections enjoy speeds up to ten times faster – for the same cost.
Ofcom, the telecoms watchdog, says that 97% of UK households have access to superfast broadband – yet this definition can be confusing as in reality, speeds vary considerably.
For example, telecom companies can advertise a package as superfast if it’s offering speeds between 30Mbps and 300Mbps.
However, the speeds quoted within this definition vary considerably in practice.
Ultrafast broadband has download speeds of greater than 300Mbps.
Those on a 30Mbps connection would wait 41 minutes to download a typical two-hour movie, while those with a 250Mbps connection would wait just four minutes.
For those with access to the “ultra-fast” or gigabit speeds of up to 1000Mbps, the same movie would take just one to two minutes to download.
But, the price of these different packages does not reflect the benefit of the speeds you’re offered.
When it comes to the speeds you can get, Sabrina Hoque, telecoms expert at Uswitch, says: “Unfortunately, it can be a lottery-based on which type of broadband is available to your premises.
“There are some areas, particularly rural, which do not have access to some of the faster speeds available in the wider UK.”
However, it’s not just rural areas missing out on top speeds.
Research by comparison site Broadband Genie shows that the slowest speeds are isolated to a street on the outskirts of London.
The number of homes able to get gigabit-capable broadband has increased to 24.0 million (80% of all UK homes).
Tens of thousands of premises are still unable to get access to a decent (>10Mps download speed) connection.
Ofcom estimates that 57,000 homes still don’t have access to basic speeds of 30Mbps.
And, to make matters worse, around 47,000 are not expected to be covered by the rollout of publicly funded schemes fibre schemes within the next twelve months.
These households are often paying the same as those with access to superfast broadband tariffs.
Unfortunately, slower speeds do not guarantee cheaper prices.
The average price for a 24-month contract with speeds between 30Mbps and 60Mbps is £24.09 a month.
While a tariff with speeds between 100Mbps and 500Mbps costs £22.58 a month on average – £1.51 cheaper per month, according to uSwitch.
Alex Tofts, a broadband expert at Broadband Genie, said others could be “ripped off and left spending up to £100 more for slower connections”.
For example, Virgin Media’s entry-level M125 Fibre Broadband Only offers 130Mbps speeds and costs £26 a month. It is only available to 54% of the UK.
That means those unable to access it are limited to deals from suppliers like BT, Now and Plusnet.
For example, one of the most popular deals with speeds up to 50Mpbs with BT costs £29.99 a month over 24 months direct from the telecom giant.
But over the length of the entire contract, a customer would end up paying £100 more and receive slower speeds, just because of where they live.
Alex added: “If you took out the BT deal you end up paying a few pounds more each month for a slower product, which adds up to about £100 extra over the length of the contract.”
However, if you visit price comparison websites like uSwitch, you will find deals that are slightly cheaper than BT’s offer.
The cheapest superfast deal from Now is £22 a month, and Plusnet’s costs £25.99 a month.
However, while Now’s deal is £4 cheaper than Virgin’s ultrafast offer, it still offers half the bandwidth of the latter’s (61Mbps).
Plusnet’s offer is just one penny a month cheaper and lacks the same speeds.
A Virgin Media spokesperson said: “As the UK’s largest gigabit provider, delivering top speeds more than 16 times faster than the UK average, we have always believed that what matters most in any form of connectivity is the end customer experience.
“As Broadband Genie acknowledges, we offer our customers fantastic value for ultrafast and reliable broadband, and we have a wide range of products to meet different customers’ needs.”
BT declined to comment.
Every home and business in the UK has the legal right to request a decent, affordable broadband connection.
If you can’t get a download speed of at least 10 Mbps and an upload speed of at least one 1Mbps (what Ofcom defines as a “decent connection”), you can request an upgraded connection.
You can make this request to BT, or to KCOM if you live in the Hull area. You don’t need to be an existing customer of BT or KCOM to apply.
Call BT on 0800 783 0223 or KCOM on 01482 602 555.
When you contact BT or KCOM, they will have 30 days to confirm if you are eligible and how much it will cost to build your connection.
If the cost of building or upgrading your share of the network connection is £3,400 or less, you won’t have to pay for this work to be done.
If it will cost more than £3,400 to connect your home, and you still want a connection, you will have to pay the excess costs.
Most people will get a connection within 12 months, but it could take up to 24 months for some.
New guidance from September 16 means customers will receive a short, easy-to-understand description of the type of broadband network technology they are signing up for.
However, Alex says: “It’s unlikely the new guidance will be welcomed by the UK’s biggest broadband providers.
“For years, the majority of these providers have been the worst culprits when it comes to advertising, and it would heavily impact their advertising campaigns.
“A move towards greater transparency in how broadband deals are advertised and described cannot come soon enough.”
A Department for Science, Innovation and Technology spokesperson said: “It’s clear that current broadband contracts can be confusing for consumers and that not everyone has access to the fastest speeds, meaning these customers can pay more for less.
“It’s vital that consumers know exactly where they stand when they sign up for new contracts and we welcome Ofcom’s guidance to providers, to help make sure terminology is clear and unambiguous for customers.
“This government is working to deliver nationwide gigabit coverage, the fastest connection on the market, by 2030.”
SWITCHING contracts is one of the single best ways to save money on your mobile, broadband and TV bills.
But if you can’t switch mid-contract without facing a penalty, you’d be best to hold off until it’s up for renewal.
But don’t just switch contracts because the price is cheaper than what you’re currently paying.
Take a look at your minutes and texts, as well as your data usage, to find out which deal is best for you.
For example, if you’re a heavy internet user, it’s worth finding a deal that accommodates this so you don’t have to spend extra on bundles or add-ons each month.
In the weeks before your contract is up, use comparison sites to familiarise yourself with what deals are available.
It’s a known fact that new customers always get the best deals.
Sites like MoneySuperMarket and Uswitch all help you customise your search based on price, allowances and provider.
This should make it easier to decide whether to renew your contract or move to another provider.
However, if you don’t want to switch and are happy with the service you’re getting under your current provider – haggle for a better deal.
You can still make significant savings by renewing your contract rather than rolling on to the tariff you’re given after your deal.
If you need to speak to a company on the phone, be sure to catch them at the right time.
Make some time to negotiate with your provider in the morning.
This way, you have a better chance of being the first customer through on the phone, and the rep won’t have worked tirelessly through previous calls which may have affected their stress levels.
It pays to be polite when getting through to someone on the phone, as representatives are less inclined to help rude or aggressive customers.
Knowing what other offers are on the market can help you to make a case for yourself to your provider.
If your provider won’t haggle, you can always threaten to leave.
Companies don’t want to lose customers and may come up with a last-minute offer to keep you.
It’s also worth investigating social tariffs. These deals have been created for people who are receiving certain benefits.
