Shell Energy Broadband Customers to See Price Hikes of Up to £36 a Year

112,000 households with broadband and landline phone services from Shell Energy will see their bills rise by up to £36 next year.

From 10 January 2021, monthly broadband bills for these households will rise by £2 a month and call plans will increase by £1 a month, for a maximum total annual hike of £36.

The price of calls will also increase, with connection charges rising by 3p a call, from 20p to 23p and rates to UK landlines, mobiles and service numbers increasing by 2p a minute to 15p a minute.

The price increases apply to all customers who signed up for broadband or landline calling packages with Shell Energy Broadband before 2 September. However, because the price hikes exceed the rate of inflation, you can leave your contract without facing exit fees.

Customers who signed up after that date are spared the increases, as are those out of contract. However, if you’re out of contract, you’re liking paying more than you should and can save significantly by entering a new contract with Shell or switching to a new broadband provider.

The oil and gas giant entered the broadband market in 2018 when it acquired energy provider First Utility and its broadband business. Since then, Shell hasn’t raised prices for its 130,000 broadband customers, it said. It attributed these latest hikes to inflation and an increase in network usage.

There’s also some good news for Shell broadband customers. The ISP is also upgrading 42,000 households with ADSL broadband to fibre packages, where available, for no additional charge. That will mean faster, better performing broadband.

Jeremy Woodrow, director of telecoms at Shell Energy said: “In recognition of the increased reliance on broadband as a result of the pandemic, we’re giving a free fibre upgrade to all customers on copper, where available.

“This will help offset the fact that while our prices haven’t increased in the last three years, inflation and the growth in network usage means we do now have to make a small increase to our charges.”

Shell is also in the process of significantly expanding its broadband business. The firm is reportedly in exclusive talks to buy Post Office’s telecoms arm, with 500,000 broadband and landline customers, after beating out broadband heavyweights Sky and TalkTalk. The deal, which is expected to take several weeks to finalise, is rumoured to be for under £100 million.