Millions missing out on broadband social tariffs in UK, says Ofcom

More than 4m UK households may be missing out on deeply discounted savings on their broadband bills, the telecoms regulator has said as it called for better promotion of the offers for those receiving benefits.

Households receiving benefits could be eligible for discounts of about £200 a year on average, compared with the cheapest normal tariff, halving the typical annual bill of £411 for fixed broadband, the regulator said.

That would offer valuable support for the poorest households at a time when large numbers are struggling with the cost of living crisis, particularly when paying for broadband or energy.

While eligibility requirements vary between providers, as a general rule people who receive universal credit or other benefits such as personal independence payments are eligible.

Households who have signed up to broadband social tariffs represented only 5.1% of the 4.3m households receiving universal credit payments, Ofcom said.

However, social tariffs are voluntary offers with no government funding, and the costs of the discounts are absorbed by the broadband providers. That means providers have less incentive to advertise cheaper deals to existing customers.

Prices under social tariffs range from £10 a month for 5G wireless broadband from the mobile network operator Voxi, to £20 a month from providers including Sky and Virgin Media, according to an Ofcom list.