Understanding Broadband Contracts: What to Check Before Signing
Broadband contracts can hide surprises in the small print. This guide explains what to look for, including exit fees, price rises, and speed guarantees.
TL;DR: Understanding Broadband Contracts: What to Check Before Signing. First move: check your contract end date and whether you qualify for a social tariff before switching.
Broadband contracts are pretty straightforward on the surface, but there’s usually something lurking in the small print that trips people up. Knowing what to look for saves you money and grief down the line.
How Long Are You Locked In?
Most contracts run for 12, 18, or 24 months. 12-month deals are rare now and usually more expensive per month. 18 months is the standard. 24 months is often the cheapest per month but that’s the longest tie-in.
Once your minimum term’s done, you roll onto a month-by-month contract with 30 days notice to leave.
If you want to avoid being locked in at all, rolling monthly deals exist. You’ll pay £5-15 more per month but you can leave whenever with 30 days notice. Good if you’re renting or might move.
Exit Fees
Break your contract early and you’ll pay. Most providers charge £10-15 per remaining month. Some smaller ones have a flat fee. Rolling monthly’s got nothing.
Example: You’ve got 8 months left on an 18-month contract at £12 per remaining month. That’s £96 to walk away. Some contracts reduce the fee as time passes. Others charge the full amount no matter when you leave. Check what yours actually says.
Mid-Contract Price Rises
This is where people get caught out. Most UK broadband contracts let the provider bump prices up while you’re locked in. Usually it’s CPI inflation plus 3.9%, or RPI inflation plus something. When inflation’s running at 4-10% (which it has been recently), that’s meant some customers getting hit with 8-14% price increases mid-contract.
Few providers don’t do this. Now Broadband locks the price for your whole contract. Some of the smaller full fibre companies do too. When you’re comparing prices, budget for increases. A £30 a month deal that goes up 10% every year isn’t actually £30 a month.
Speed Guarantees
Ofcom makes providers give you a guaranteed minimum speed in writing. If they can’t deliver it, you contact them to fix it. If they can’t fix it within 30 days, you leave free of charge. The minimum is usually about 50% of the advertised speed. Get yours in writing before you sign.
| They Advertise | You’re Guaranteed |
|---|---|
| Up to 36 Mbps | 20-30 Mbps minimum |
| Up to 67 Mbps | 40-55 Mbps minimum |
| Up to 150 Mbps | 100-130 Mbps minimum |
Keep speed test records with dates if you’re regularly getting below your minimum.
What You’re Paying For
Check what comes with it. Usually: a router (you might need to return it when you leave), unlimited data, a phone line if you need one, basic security software.
Sometimes bundled in extra: WiFi extenders, fancy routers, static IP addresses, premium security stuff, priority customer support. Providers sometimes chuck in extras you don’t need to jack up the price. Make sure you’re only paying for what you want.
Bundled Deals (Broadband + TV + Phone)
Bundled packages look good on paper but they lock you in longer, make switching a pain because you’ve got multiple services, and sometimes have separate exit fees for each bit. Often you’re actually better off getting standalone broadband and signing up to a streaming service separately. You’ll probably pay less and have more flexibility.
What Happens When Your Contract Ends?
Some automatically renew for another chunk unless you opt out before the end date. Others just roll into monthly. Ask specifically: “What happens when my contract ends?” and get the answer in writing.
Price After You’re Out of Contract
It goes up. A lot. Providers rely on people not noticing.
| When | Cost |
|---|---|
| During your contract | £25-30/month |
| After contract ends | £40-50/month |
Set a reminder 6 weeks before you’re free so you can shop around or call and negotiate.
14-Day Cooling Off Period
You’ve got 14 days from signing (or receiving equipment, whichever comes later) to cancel without penalty if you change your mind or find a better deal.
What to Actually Ask Before Signing
What’s the guaranteed minimum speed? Can they hike prices mid-contract and by how much? What are the exit fees if you leave early? What happens when the contract ends? What equipment needs returning? Is there a cooling off period? Get the answers in writing - live chat logs, emails - not just whatever someone says on the phone.