The company will instead set out price changes in pounds and pence within customer contracts at the point of sale.
BT previously increased prices in line with the Consumer Price Index (CPI), a measure of inflation, but in December Ofcom proposed a ban on mid-contract price rises that did not provide “sufficient certainty” about the prices people would pay.
Writing on BT’s blog, Marc Allera, CEO of BT Group’s consumer division, said, “Starting in early summer, we will introduce a pricing model consistent with Ofcom’s approach, moving away from per cent figures and CPI, and offering instead, a clear and simple view of any changes in pounds and pence. For new and re-contracting mobile customers, we expect this increase to be from £1.50, and for broadband customers £3.”
BT will proceed with a final inflation-linked price increase in March. Allera said, “Until then, we continue to follow the existing rules, with our annual March 31st price increase of CPI plus 3.9 per cent going ahead as per normal. With the CPI inflation rate being announced tomorrow, most of our customers can expect an increase of a few pounds per month.”