The price hikes will begin in April 2026, and although they vary in scale, they signal a larger trend of rising telecom costs. These increases, while not unexpected, come at a time when consumers are already grappling with inflation and rising living expenses.
O2’s Price Increases: More Transparency, but Higher Bills
O2 customers will see their monthly bills rise by £2.50 for voice plans and £0.75 for data-only and smartwatch plans starting in April 2026. This price increase represents a shift from O2’s previous £1.80 annual rise, according to the company’s announcement this month. The price hikes will apply equally to both new and existing customers, making the change a broad one for O2’s UK user base.
In a bid to enhance transparency, O2 will also introduce clearer communication about price changes. According to the company, these hikes will now be displayed in exact pound amounts, rather than using inflationary measures or percentages. The aim is to make it simpler for customers to understand exactly how much more they will be paying each year. This change comes in line with new regulations from Ofcom, the UK’s communications regulator, that require telecom companies to present their price updates in a clearer format.
Though O2’s move towards greater transparency may be welcome, the reality of a £2.50 increase could raise concerns for many customers, particularly those already struggling with rising costs elsewhere. These changes mark part of the ongoing trend of price adjustments across the telecom industry, which many providers are using to fund infrastructure improvements and service upgrades.
EE and Virgin Media’s Annual Hikes: Varying Impact Across Contracts
EE has also confirmed that its customers will face price hikes in March 2026, with increases varying depending on when the customer signed their contract. Mobile SIM Only plans and airtime plan users who signed up between April 2024 and July 2025 will see an increase of £1.50 per month. However, those who took out contracts from August 2025 will face a higher hike of £2.50.
For customers who signed up for handset plans, the price increases are similarly staggered. Those who signed contracts between April and September 2024 will see a rise of £1.50, while customers who began their contracts in September 2024 or later will face a higher £4 increase. According to EE, these price adjustments are designed to allow the company to continue investing in network improvements and offer better value for customers in the long term.
Meanwhile, Virgin Media has raised its broadband-only price hikes to £4 per month from the previous £3.50, with this increase affecting both broadband and broadband/TV package customers. The provider’s decision to raise prices annually, as opposed to a single lump-sum increase, has sparked some concerns among its user base, who may now be questioning the overall value of their current plans.
Despite these changes, EE and Virgin Media both frame their price hikes as necessary to maintain and improve service quality. According to EE, these increases allow the company to “continue investing to deliver the best connection for you and your home,” while Virgin Media similarly defends the hikes as a means of enhancing customer experience.
