Households could save £500 a year under Ofcom's new broadband deal 'switch' system - are you eligible?

How to save in this economy |

GB News

Joe Sledge

By Joe Sledge


Published: 12/09/2025

- 17:07

Just 5.1 per cent of eligible households have signed up to social tariffs

Households in receipt of benefits from the Department for Work and Pensions (DWP) could save up to £500 a year under the DWP

Ofcom’s One Touch Switch has already helped 1.6 million people change their broadband or phone provider. The new system has made it easier than ever to shop around for better deals.


But despite this success, millions of struggling households are still paying far too much for their internet.

The reality is that switching alone is not enough when most people are unaware of cheaper options.

There are 4.3 million households across the UK eligible for specially discounted broadband through social tariffs.

Yet only 220,000 families have actually signed up, which works out to just 5.1 per cent of those who qualify.

These tariffs are designed for people receiving benefits such as Universal Credit, Pension Credit or certain disability payments.

They usually cost between £12 and £20 a month, which is often less than half the price of standard broadband packages.

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Engineer and customer

There are 4.3 million households across the UK eligible for specially discounted broadband through social tariffs.

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GETTY/VIRGIN MEDIA O2 PRESS OFFICE

The savings can make a real difference.

Eligible households could save between £200 and £250 a year simply by moving onto one of these deals.

That money could instead be used for heating, groceries or other essential bills during the ongoing cost of living crisis.

Major providers including BT, Virgin Media, Sky and Vodafone all offer social tariffs, along with several smaller operators.

Sky Broadband Wireless Hub pictured on a white background

Sky is among the providers offering social tariffs

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SKY TV PRESS OFFICE | GBN

However, the deals are not always advertised clearly.

Availability can vary depending on location, leaving many households unaware that cheaper options even exist.

The numbers highlight the gap starkly, with 4.3 million households eligible, that means more than 4 million families are overpaying for their broadband every year.

Experts estimate this adds up to more than £800million of unnecessary spending across the country annually.

Thomas Gibbons from Money Wellness says many people still do not know these discounts exist.

"We speak to hundreds of people every day who have never heard of them or understand how they can help reduce their bills," he explained.

The contrast between the success of One Touch Switch and the lack of awareness of social tariffs has alarmed campaigners.

"It's brilliant to see so many people taking advantage of Ofcom's One Touch Switch," Mr Gibbons said.

"But we're worried too many low-income households are being left behind. These tariffs could make internet and phone services genuinely affordable for struggling families."

He added: "With the cost of living still tight, we'd urge everyone to check today if they qualify for a social tariff. It could save you hundreds of pounds a year, and switching couldn't be simpler."

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Ofcom

Ofcom’s website lists all companies that provide discounted packages.

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PA

Checking eligibility is quick and straightforward. Mr Gibbons advises: "Take just half an hour this week to check what tariff you're on – it could save you hundreds of pounds a year."

The first step is to ask your current provider if they offer a social tariff. If they do not, Ofcom’s website lists all companies that provide discounted packages. Examples include BT’s Home Essentials at £15 per month, Virgin Media’s Essential Broadband at £12.50, and Sky’s Broadband Basics at £20.

Smaller firms such as Community Fibre, Hyperoptic and YouFibre also offer discounted deals in certain areas.

Once you’ve chosen the right package, the One Touch Switch system makes the process simple. "One Touch Switch will handle the process for you. It's really straightforward and easy to do," Mr Gibbons said.

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