BT Group PLC (LSE:BT.A) has defended its recent broadband and mobile price increases after consumer lobby group Which? called them "outrageous".
The telecoms group and its rivals have been able to push through big rises recently due to a price regime linked to consumer price inflation plus 3.9%.
In 2023, that amounted to a hike of 14.4% while this year BT has announced prices are going up by 7.9%.
BT said it had been "clear and transparent" over its rises while Shell Energy Broadband, the only other company to respond to Which?, said its increases were less than rivals.
Other firms often wait for BT to announce its plans and just row in behind with a minor reduction, say sector watchers.
Customers who don't want to pay the extra also face hefty fees for exiting a contract early.
Rocio Concha, Which?’s director of policy and advocacy for the consumer group, said the policies of the big telco providers had to change.
"Telecom providers must do the right thing by halting unfair price hikes immediately, rather than piling more misery on their customers," she said.
Which? estimates customers of BT’s mobile arm EE Mobile face a price hike of £24.84 over the coming year from April.
Leaving early, however, would cost a £289.64 exit fee.
BT broadband users meanwhile face paying an extra £35.92 extra this year or an exit fee of £218.64 if they have 12 months left on the contract.
Using the 4% CPI measure of inflation in December, plus an additional 3.9%, would amount to around £3 per month for most customers, BT said, adding that reflects the heavy investment it is making currently in fast fibre and social contracts.
Telecoms regulator Ofcom has said it will bring in new rules to curb the price hike/exit fee combination from the autumn.