A Virgin Media sign is displayed above the company's shop on Oxford Street in central London on February 6, 2013.
Virgin Media, a telecommunications company based in the UK, announced that millions of its subscribers would soon be required to pay extra to use the internet. Starting on Apr. 1, some customers will receive an average 13.8% increase in their internet and TV rates, while others will see a record-breaking hike in May.
The company only followed suit with BT's previous notice that its prices would go up beginning March by more than 14%.
In the Face of Cost-of-Living Crisis
In a report by Express.co.uk, Virgin Media initially promised to begin informing customers of the additional costs they will incur and when to expect the increases to take effect in the coming weeks. Despite this, the news comes at the worst possible time for millions of households whose budgets have already been stretched thin by the cost of living crisis.
Virgin has confirmed that the most vulnerable users would not experience a price increase in 2023. Thus not all customers will be impacted by the adjustment.
Customers with Talk Protected and those subscribing to the Essential Broadband bundle for those receiving Universal Credit fall under this category.
Virgin has confirmed that its broadband rates will increase at the beginning of the new year, and the company will also be implementing new conditions.
By 2024, Virgin will join companies like BT to link price hikes to the current Retail Price Index (RPI) rather than make independent decisions. That would be excellent news if the RPI goes down during the following year, but it means consumers should anticipate even higher fees to pay if the RPI remains the same or goes up.
A representative for Virgin Media said in a statement, "We know that price rises are never welcome, particularly right now, but like many other businesses we are experiencing significantly increased costs while investing [in keeping] pace with growing demand, as broadband usage rose more than 10% last year and speeds increased by 40%."
The spokesperson added that the company is dedicated to helping consumers out in this challenging economy. Therefore, they are holding the line on rates for their most disadvantaged customers, particularly those on their social broadband tariffs.
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Expected Price Increase
As per the report, the following is an estimate of the possible increase in monthly Virgin Media bills:
- From £20 (about $24.80) to £22.76 (about $28.22)
- From £30 (about $37.20) to £34.14 (about $42.33)
- From £40 (about $49.60) to £45.52 (about $56.44)
- From £50 (about $62.00) to £56.90 (about $70.56)
- From £60 (about $74.40) to £68.28 (about $84.67)
Many of the largest companies, including BT and Virgin, have recently increased their rates for Internet service.
The majority of the leading ISPs, including EE, Vodafone, Plusnet, and TalkTalk, have announced rate increases, leaving Sky as the lone remaining provider, silent on upcoming price fluctuations.
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