Hiking prices of services under UK law

Aylesbury_Duck

As above, you don’t understand inflation. My local radio station made this gaffe once. RPI had decreased and they led the news story with “prices will be getting cheaper thanks to a reduction in the RPI” or something like that.

As long as RPI is positive, prices are still rising. A drop in RPI from 3% to 2% does not mean a drop in prices.

waamo

Aylesbury_Duck wrote: »

As above, you don’t understand inflation. My local radio station made this gaffe once. RPI had decreased and they led the news story with “prices will be getting cheaper thanks to a reduction in the RPI” or something like that.

As long as RPI is positive, prices are still rising. A drop in RPI from 3% to 2% does not mean a drop in prices.

Indeed it merely means that prices rose by 2% instead of the previous 3% in the same timeframe.

macman

The contract is either fixed price for the minimum term, or it is not. For example, TalkTalk phone and broadband is fixed for 12 or 18m. I have a Sky contract for the same, but it's not fixed price. They can increase it at any time. But if so, I can leave without penalty as the new terms are detrimental.

Ectophile

I think what some people are missing is that if they tell you at the start of the contract that they are going to increase prices in line with inflation, then that is not an excuse to leave the contract early.


You can only cancel the contract without penalty if:

• They didn't tell you that they were going to increase the price, at the start of the contract, or
• They increase the price by more than they said they would.

It's now common for mobile phone and other contracts to have inflationary price increases built into the contract. If you don't agree to that, don't sign the contract.


Attempting to leave the contract early will see you hit with a big cancellation fee.

unholyangel

The term also needs to be clear and adequately drawn to the consumers attention, before they enter the contract - not buried away in small print that they may not receive at all/until after they've entered.