In the UK, 9% of households struggle to pay their broadband. But help is available for those who need it the most.
Many of the UK’s providers offer a broadband social tariff for people on benefits and Universal Credit.
What is a broadband social tariff?
A broadband social tariff is a broadband contract available to people on benefits and Universal Credit.
You receive the same level of service as any other customer, but at a lower monthly cost. Eligible customers can switch to a social tariff at any time, won’t incur any mid-contract price rises, and will not be charged any setup or exit fees.
For more information and how to sign up to a social tariff, head over to our guide about cheap internet for people on benefits.
£1.05bn left on the table
Less than 1 in 10 eligible households take up the offer of a broadband social tariff. This means 4,794,000 households could be on a social tariff but aren’t.
On average, households could save £18.34 per month by switching to a social tariff. Across the UK, this amounts to £1.05bn in unclaimed savings each year.
What are the risks if people become disconnected from the internet?
We reached out to Georgina Colman, Founder of Purpl, a platform dedicated to providing discounts for people with disabilities or long-term health conditions. Georgina highlighted that internet access is a vital lifeline and more needs to be done to raise awareness of available support.
Georgina Colman, Founder of Purpl said: “This is a cost-of-living scandal hiding in plain sight. Millions of people on low incomes, including disabled people and those on Universal Credit, are overpaying for broadband simply because they don’t know help exists. Broadband is an essential service, and when households could be saving around £220 a year, the lack of awareness around social tariffs is letting people down. Providers need to do far more to actively tell customers what they’re entitled to.
“If broadband becomes unaffordable, disabled people don’t just lose an internet connection, they lose a vital lifeline. For many, it’s how they stay in touch with family, access support, manage their health and avoid isolation. Disabled people are already more likely to experience loneliness, and pricing them out of broadband risks cutting them off from the world at a time when digital access is no longer optional.”
Lack of awareness
The majority (69%) of benefit claimants aren’t aware these discounted tariffs exist. This exceeds the uptake rate of social tariffs, suggesting that the sign-up process or the products themselves may not be suitable.
What the provider had to say
We reached out to Community Fibre, Hyperoptic and Vodafone, all of which offer a social tariff. Community Fibre highlighted that they remove and lower the barriers to entry for their 35 Mbps Full Fibre Broadband, 12-month contract. Hyperoptic agreed that awareness is an area where the market can improve.
Question: Have you reached out to households who may be eligible for a social tariff? If so, how many?
Community Fibre: “We know that getting online is a necessity to lead a normal life in the modern world. If people are priced out of broadband, they won’t be able to carry out essential everyday tasks, including applying for jobs, paying bills, or booking medical appointments. Our 100% full fibre 35 Mbps Social Tariff at £12.50/month is not only one of the most affordable social tariffs on the market, but also the most accessible, because unlike most other providers, Community Fibre does not ask for proof of income support or government benefits to prove eligibility.
“For any existing Community Fibre customers struggling to pay their bills, we proactively offer them the option of transferring to our Social Tariff, to ensure they stay connected. We also promote our Social Tariff across all of our resign communications, as well as in newsletters to our customer base. In addition, because we run extensive advertising of our broadband services starting from £12.50/month, we have therefore been able to promote our Social Tariff to millions of Londoners across the capital. We highlight our social tariff on our website, as well as promoting our package across our social channels. We also work closely with our landlord partners, housing associations, and the Department for Workplace & Pensions to ensure we reach as many households that could benefit from a social tariff as possible.”
Hyperoptic: “Hyperoptic works closely with local authorities across the UK to help ensure our broadband services are available to as many social housing residents as possible. We have also carried out broader awareness activity, including radio advertising and direct mail. While we don’t have a precise figure for the number of households reached, increasing awareness of affordable broadband options remains a key focus for us.”
Question: Social tariffs aren’t a legal requirement. Is there anything the UK could be doing to improve accessibility or uptake?
Hyperoptic: “Hyperoptic believes awareness remains one of the biggest barriers to uptake. People can’t benefit from social tariffs if they don’t know they exist. Clearer signposting and more consistent communication across the sector would help. We encourage anyone who thinks they may be eligible to check what’s available to them. We offer monthly rolling contracts with just 30 days’ notice, and are the only ISP to offer two speed options as part of our social tariff, with speeds available up to 1Gb.”
Community Fibre: "Unlike most other providers, Community Fibre does not ask for proof of income support or government benefits – making it one of the most accessible and affordable social broadband tariffs on the market. We believe that by removing the barriers for entry, we can help to connect as many Londoners as possible with reliable, full fibre broadband, and we would encourage the wider industry to do the same."
What the experts at Broadband Genie had to say:
Alex Tofts, broadband expert at Broadband Genie: “While take-up of broadband social tariffs is moving in the right direction, progress is slow. Only a fraction of eligible households are signed up to a social tariff.
“We encourage anyone who thinks they're eligible for a social tariff to apply online or to contact their provider.
“Awareness of these tariffs is a huge challenge, and providers need to play their part in making these products known to consumers. We found less than half of providers mention their social tariff on their website homepage. Offering social tariffs is voluntary for providers, and integrating them into a sustainable business model can be challenging. As a result, many providers invest little in promoting these packages.
“If you’re not eligible for a social tariff, 8.8 million bill payers are out of contract and can switch or renew their deal to lower their monthly outgoings.”
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Methodology
506,000 (9.6%) eligible customers are on a social tariff. Leaving 4,794,000 eligible households not signed up to a broadband social tariff.
£1.05bn savings unclaimed:
£30.84 average spend on a broadband contract.
£12.50 Virgin Media Essential Broadband.= £18.34 average saving by moving to a social tariff.
£18.34 (average monthly savings) x 4,794,000 (eligible customers not on a social tariff) = £87,921,960 multiplied by 12 months = £1,055,063,520