Anyone else think that BT should not to raise prices by the full CPI + next year?

[gg30340]

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@Caz9797 wrote:

Correct which means there are a number of individuals and pension fund managers who can encourage a rethink. What this forum can do is help them decide to act.

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And how do you propose to do that. This forum has at most a thousand users at any time and far less than that who are frequent active members.

Given that BT have in excess of 14 million customers the vast majority of which will no doubt be in a fixed term contract and will not move to another supplier and incur cancelations fees if the price increase does go ahead and do you honestly think that "individuals" who ever they may be,  and pension fund managers, who have a duty to increase their customers pension funds, will really be interested in encouraging a rethink.

[pottyperson]

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@Les-Gibson wrote:

Why they can't make it more readable by putting all the necessary information in one clause baffles me.

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It's a binding contract which by definition is 100% necessary. To be fair, every time I've renewed my contract the agent has pointed out the prevailing provisions for price increases both before and since the implementation of CPI+.

[Arthur_Brayne]

If I'm honest, I have fewer issues with the CPI increase as the added 3.9%. Where has that figure come from? It's basically more than anyone ever gets offered as a pay rise and yet BT just add it on on top of the 'cost of living' increase.

[Les-Gibson]

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@Arthur_Braynewrote:

If I'm honest, I have fewer issues with the CPI increase as the added 3.9%. Where has that figure come from? It's basically more than anyone ever gets offered as a pay rise and yet BT just add it on on top of the 'cost of living' increase.

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I think CPI is a bigger consideration for most people, after all a CPI of (say) 1% plus 3.9% is a lot more affordable than a  CPI of (say) 10% plus 3.9%.

[Arthur_Brayne]

That's true @Les-Gibson but at least that increase is based on something. The 3.9% seems an arbitrary figure added to boost BT's profits. If, say, CPI was -1%, we'd still be paying increased prices of 2.9% even though BT's costs haven't gone up.

Maybe that's a slightly naïve or simplistic view but I 've worked in places where any annual salary increase was based on CPI and in 2015 we didn't get a pay rise because CPI was, basically, 0% for much of the preceding year.

[imjolly]

@Arthur_Brayne 

If you check what other companies not just ISPs you will find similar annual increases from 3.9 or 3.7% so BT are just one of many 

It didn't seem bad when CPI was very low but not case now

[Les-Gibson]

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@Arthur_Braynewrote:

 If, say, CPI was -1%, we'd still be paying increased prices of 2.9% even though BT's costs haven't gone up.

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I'm not sure that's altogether true, I seem to remember reading somewhere that even if CPI was negative the price increase would still be 3.9%. i.e. 3.9% is a minimum increase

[pottyperson]

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@Les-Gibson wrote:
 ... I seem to remember reading somewhere that even if CPI was negative the price increase would still be 3.9%. i.e. 3.9% is a minimum increase

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You don't need to rely on vague memories. Just look at the T&C, where clause 21b states, "If the CPI figure is negative in the relevant year we will only increase the charges by 3.9%."

[Les-Gibson]

@pottyperson 

Thanks for confirming that I remembered correctly

[pagenotfound]

Totally agree with @Caz9797 on this. If the increase next year is as high as predicted then I'll see my contract out and then look to switch to whoever has the best deal and I suspect there is going to be an awful lot of end of contract churn.

I have no issue with BT workers taking action for better pay with the cost of living increases and more power to them but it will be a bit of a joke if BT are offering 5% pay increase to workers but are then going to put prices up 14% or more. It's not going to be a good look.