The UK government is urging internet service providers (ISPs) to do more to promote social tariffs as households struggle with rising living costs.
Social tariffs are discounted broadband plans for households receiving certain benefits. They aim to reduce the digital divide and ensure people can access employment, education and social services that depend on reliable internet access.
However, data from the UK telecoms regulator Ofcom shows uptake of these offers is very low: fewer than 2% of eligible households have taken up social tariffs. That suggests many people are either paying more than necessary or choosing to go without broadband.
In a letter sent to major ISPs including BT, Virgin Media O2 and Hyperoptic, UK Digital Secretary Nadine Dorries wrote:
“The government is determined to work with businesses to keep everyday costs down for families across the country. Broadband has transformed people’s lives as we become a more digital society and I believe it’s vital we raise awareness of discount broadband offers for low-income households.
Support is available for 99 per cent of the country, yet Ofcom’s recent analysis shows that only 1 to 2 per cent of households on Universal Credit eligible for social tariff products have taken them up.
This means that of the almost 5,000,000 households who could be benefiting from cheaper broadband, only around 55,000 currently are. Less than a quarter of those eligible families were aware the deals were available.
It is more important than ever that we support families and ease pressures on household finances while also closing the digital divide. I am grateful for the work you have done on this so far and look forward to your response on how we go further.”
Inflation in the UK is rising at its fastest pace in three decades, driven by higher energy, fuel and food prices. The Bank of England expects inflation to reach around eight percent over the spring and warns it could rise further later in the year.
Since last year, the number of telecom operators offering social tariffs has roughly tripled as financial pressure on households has grown. While that increase is positive, the very low take-up indicates many eligible households remain unaware these discounted services exist.
The government’s letter may not force major policy changes, but it is intended to encourage ISPs to increase promotion of social tariffs so more eligible families can benefit. Better outreach, clearer signposting and simplified eligibility checks could help boost awareness and take-up, easing costs for vulnerable households and helping to close the digital divide.
(Photo by Emil Kalibradov on Unsplash)
Related: Telecoms union pressures BT for inflation-countering pay rises
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