26-09-2018 02:49 PM
I would like to cancel my 24 month contact early as I can no longer afford the bill. Would this be possible ?
26-09-2018 02:57 PM
@Chloehill1: It'll be possible but it won't save you much. You'll still have to pay off the whole of the remaining contract term less VAT (16.7%). VAT is not due on termination fees. You did commit to a 24 month contract.
If you are struggling with your bill you should contact EE to see what can be done. See What should I do if I can't pay my bill?
26-09-2018 03:13 PM - edited 26-09-2018 03:28 PM
Yes, VAT is 20% of cost (pre-VAT) price. So working backwards it is 16.7% of the selling price.
If you wanna do the maths: SP = CP+VAT = CP+20%xCP= 120%xCP
Therefore VAT = SP-CP = SP-SP/120% = SP-SP/1.2 = (1.2xSP-SP)/1.2 = 0.2/1.2xSP=1/6xSP = 16.7%x SP
26-09-2018 03:29 PM
You'll be undercharging yourself .
26-09-2018 07:07 PM - edited 26-09-2018 07:08 PM
EE now also remove a further 4% from early termination fees after the VAT has been removed. Full details here.
26-09-2018 07:47 PM
About £31 for each remaining month of your contract term.
26-09-2018 08:23 PM