Chancellor Rachel Reeves and Technology Minister Peter Kyle have warned Britain’s major telecoms companies that they must do more to protect customers from unexpected price increases during the contract period, calling on the sector to improve transparency and treat consumers “fairly and consistently”.
In a joint letter to mobile and broadband CEOs, ministers said too many customers were still facing confusing or unclear pricing mechanisms and called on providers to reiterate that no contract customer should be faced with price increases beyond what was originally agreed.
Reeves and Kyle also urged companies to proactively move legacy customers to simpler “pounds and pence” price increase structures and replace percentage price increases currently linked to inflation, which ministers say undermines clarity for consumers.
Ministers will invite industry leaders to a roundtable in Whitehall in the coming weeks to discuss further steps to support consumers and identify areas where the government can help unlock investment in digital infrastructure.
The meeting follows Kyle’s recent letter to Ofcom urging the regulator to maintain pressure on providers over price fairness.
“Companies must do more to protect loyal consumers”
Kyle said telecommunications services are essential to daily life – from running businesses to staying connected with family – and businesses need to step up.
“Mobile and broadband bills are a significant, everyday cost for millions of people. But it’s clear that companies must do more to protect their consumers – loyal customers who rely on these services to conduct business and stay in touch with their loved ones,” he said.
“When we meet them shortly, I expect company bosses to present clear plans to protect Brits from unexpected price increases and improve their customer communications.”
Kyle added that the government was committed to working with industry to support long-term investment in next-generation connectivity, but said fairness must be “at the heart” of the sector’s approach.
The government is linking pricing concerns to broader infrastructure goals
The push on telecoms pricing comes as the government sets out its wider ambitions for digital infrastructure in a 10-year infrastructure strategy. The plan includes:
• Standalone 5G coverage in all populated areas by 2030, delivered through commercial investments
• 99% gigabit-capable broadband coverage by 2032
• Continued sector commitment to social tariffs and digital inclusion initiatives
Ministers stressed that the telecoms sector is “fundamental” to the UK economy and that ensuring consumers are treated fairly is a prerequisite for public trust as providers continue to expand their networks.
As inflation-related price increases draw ongoing criticism from consumer groups, the government’s intervention signals a tougher stance on clarity and fairness while positioning itself as a partner in long-term investment in nationwide digital connectivity.
