EE to replace RPI increases with CPI+3.9%!!!

[Plymouthbloke1]

Hold onto your hats people..... from next year EE is reportedly replacing RPI with the slightly lower CPI figure.... but slapping 3.9% on top of that figure! So for example of CPI was 2% next year, the price increase would be 5.9%!

So, this will involve a massive change to consumers terms and conditions. Will this allow customers to exit their contracts without penalty? 

This is going to backfire spectacularly methinks....

[Largewhippy]

I understand how businesses work 👍😉

Investment is usually funded from profits earned on revenues.

This is a NEW charge on top of existing service charges and inflation increase.

[BrendonH]

It's not new. Prices went up yearly every year for years.

[Largewhippy]

Exactly. Annual inflationary increase. If you read the thread you will see that I have been a loyal customer for 10+ years and have accepted and paid this annual increase.

But why now introduce a random additional 3.9% additional charge on top of inflation??

Inflationary increase 0.6%
EE additional increase 3.9%
WHY??

[redbullman]

I'm frankly disgusted that EE have the nerve to increase prices at all this year.  Yeah yeah it's in the contract, but at a time where everyone is struggling, millions will be unemployed when furlough ends, any rise this year is offensive.  It's just been announced the biggest drop in the economy in 300 years!  People have never in modern history struggled this much; and you're planning on increases bills by cpi + 3.9%!  Can anyone explain to me how this isn't taking the mickey?  Don't give me the investment nonsense answer.  The mobile networks have not struggled to make money during lockdown, unlike the rest of the private sector, where almost everyone is facing a very uncertain future.

This move by EE leaves a very bad taste in the mouth.  It couldn't be a worse time to increase prices.  EE will just hide behind the contract you've signed argument.  This is morally wrong and they know it.  They would have won lots of customers and good will if they had a marketing campaign stating they are looking after customers during these difficult times by not increasing prices for 1 to 2 years.

[Colstalex]

Vodafone have copied EE and now do CPI+3.9%, Three now do a flat 4.5% increase per year. O2 seems the only one left on just RPI. Some of the virtual operators don't have any increases (Sky is one)

[redbullman]

This move by EE to increase their prices this year is disgusting.  My contract is due to run out in the next couple of months.  On point of principal, none of us should have to put up with this.  

There is no way I am staying with a company who operates such questionable shady business tactics.

[Colstalex]

O2 also only increase the airtime element of your contract as they charge separately for any handset. I am still mystified why no network apart from Virgin has copied them in splitting the contracts into finance for a handset and an airtime contract.   

[BrendonH]

It's only shady if they don't tell you about it.

You agreed when you signed the contract within the T&Cs

[Colstalex]

You are right, this should put people off upgrading or renewing a sim only. 

[BrendonH]

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@Colstalex wrote:

O2 also only increase the airtime element of your contract as they charge separately for any handset. I am still mystified why no network apart from Virgin has copied them in splitting the contracts into finance for a handset and an airtime contract.   

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Sky kind of does.

If you are on the Swap12 its a 24 month contract but after 12 months your phone is paid off and monthly payment is reduced.

Swap 24 is a 36 month contract and payment reduces after 24 months unless you Swap phones of course then you start a new contract.