Price Increase for Pay Monthly customers

We consistently try to provide all our customers with great value and keep our prices low.

However, as external costs continue to rise, we have had to review the impact this is having on what we charge for our pay monthly service.

At a time when our competitors have been raising the price of their tariffs, we have resisted.  We’ve held off for as long as possible but now need to make a change.

From 28^th February 2013, the mobile line rental for our pay monthly tariffs will increase by the current inflation rate of 3.2%. We’re doing it in the fairest way possible and want to give our customers maximum notice so they have time to manage their finances.

For over half of our customers this will mean an increase of up to 58p per month to their bill.

This change means everything else stays the same including charges for calls, texts and data.

This price change affects consumer and business customers on pay monthly tariffs. The following customers are unaffected: Pay & Go customers, large enterprise (corporate) customers on bespoke contracts, home broadband, mobile broadband, home phone and O2 Lease customers.

Price increases are never welcome and this isn’t a decision we’ve taken lightly. However, it will help enable us continue to invest in the services that matter to our customers while still offering great value for money. Here are some examples:

• Priority Moments. Last year we brought customers 5,000 offers from 1,500 big brand names, saving them £25 million in deals and discounts.

• O₂ Gurus. With friendly advice in our shops, online and over the phone, we’ve helped over 8 million customers make the most of everything that digital can do.

• O₂ Wifi. We’ve set up thousands of wifi hotspots giving free wifi in shops, cafes, bars across the UK – giving free, fast internet on the move.

• O₂ Recycle. We’ve given £40 million cash back to customers in return for old gadgets. And any money we make goes straight to our youth charity, Think Big.

For more information on this change, go to www.o2.co.uk/prices