Many Virgin Media customers are facing broadband price rises on April 1, and today it was confirmed by how much their contract payments will go up.

The UK’s retail price index (RPI) for January 2025 was set today at 3.6 percent, which Virgin Media will now add to a flat 3.9 percent increase to calculate a 7.5 percent hike. This price rise affects all Virgin Media broadband subscribers whose contracts began before January 9, 2025.

Those started after that date fall under new Ofcom rules that forbid the longtime practice of enforcing inflation-based mid-contract price rises for broadband customers. Instead, prices for newer contracts will rise in a new ‘pounds and pence’ model that is more transparent, allowing new customers to see the exact amount they’ll be charged each time there is a price increase.

“As per the terms and conditions they agreed to when signing up, and in line with Ofcom’s new rules, some existing Virgin Media customers on older contracts will receive an inflation-linked price increase in April equivalent to RPI+3.9 percent,” a Virgin Media spokesperson told Express.co.uk.

That means a Virgin customer currently paying £31.99 per month will see a price increase to £34.39 per month, an increase equivalent to eight pence per day.

“We know that price changes are never welcome, but with broadband usage on our network continuing to grow by nearly 10 percent last year, we continue to provide excellent value for connectivity that our customers are relying on more than ever before,” the spokesperson said.

"We also continue to support customers who need it most – for example through exempting social tariff and Talk Protected landline customers from any price changes.”

Virgin's stated ten percent growth is a notable increase for the firm, and as with many broadband providers and other utility services, Virgin passes on some of its own growing bills to its customers.

Unlike Virgin Media, customers who use BT’s broadband services will see price increases from April 1 based on the consumer price index (CPI), which this year results in a 6.4 percent hike for customers who signed up to contracts before April 10, 2024.

“Today’s RPI announcement heralds bad news for the majority of Virgin Media customers whose bills will soar by 7.5% from April,” said Ernest Doku, telecoms expert at Uswitch.com.

“Virgin Media broadband customers paying the average broadband cost of £355 per year will see their bills rise by £26.

“Virgin Media customers who took out a contract after 9th January will be subject to a ‘pounds and pence’ price rise following Ofcom’s ban on inflation-linked mid-contract price increases in January. This will be £3.50 per month for broadband customers, making these the steepest of providers' mid-contract price rises this cycle.”

Virgin Media is owned by Virgin Media O2, a merged entity that also runs the O2 mobile network. The new Ofcom rules on pounds and pence increases in contract prices applies to all existing and current O2 customers, so you’ll be informed when you start a new contract or during your current one about the exact amount you can expect your bills to go up each year.

The rules ensure all mobile networks are under this new system, regardless of when the contract started. Only broadband customers on older contracts still fall under the inflation-based system, which is less predictable as it is based on fluctuating RPI or CPI figures.

One way to ensure you’re on the transparent pounds and pence system is to switch broadband providers.

“If you’re one of the estimated two million Virgin Media customers who are out of contract or coming to the end of your existing deal, you don’t need to put up with price rises,” said Doku.

“The launch of One Touch Switch means it’s never been easier for broadband customers to vote with their feet and switch providers. Smaller, regional broadband providers like Hyperoptic and Trooli don’t raise their prices mid-contract and customers can save on average £181 a year by switching providers.

“You don't have to let price hikes slide - it only takes a few minutes to run a comparison and see what other options are out there.”