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Mobile phones users could save by switching contracts

Mobile phone users could save an average of £104 a year by switching tariffs when their contract is up for renewal, according to uSwitch.com.

Almost three quarters (71%) of Brits on pay-monthly contracts choose deals with free handsets where the cost of the phone is incorporated into the monthly price. When the contract ends but the customer doesn't change their deal, they are effectively still paying for a handset.

uSwitch.com estimates that if mobile users switched to SIM-only contracts or new pay-monthly deals, they could save £1 billion collectively over a 12-month period.

Key findings:

  • 31% of mobile users are currently on pay-monthly contracts that are up for renewal but haven't changed to a new deal
  • 33% of Brits have stayed on the same network since they first owned a mobile phone
  • 18% say it's too much hassle to switch networks
  • 10% say switching is too complicated.

Ernest Doku, telecoms expert at uSwitch.com, said:

"When picking a new deal, also choose a tariff that best reflects your actual monthly usage. Your current bill shows you how many minutes, texts and data you use in a typical month. Finally, if you have a smartphone, do pay close attention to your data usage, as out-of-bundle charges are likely to be costly."