The cost of broadband has fallen by more than 60 per cent over the past 18 months despite all other household utility bills rocketing.
Top 10 Broadband has found that while gas and electricity bills have risen by 15 per cent – and are due to increase further – competition has forced providers to cut their prices.
Jessica McArdle, a spokesperson for Top 10 Broadband, which compares the UK's broadband services, said: “Rampant competition among ISPs is driving the broadband market to cut the cost and raise the speed of home broadband packages.
“If you signed an 18-month contract in January 2007, the average deal would have cost £13.73 a month. If you were to switch from this package now, you would be looking at offers starting at just £3.25 a month – the opportunity for savings is obvious and people need to consider switching broadband provider if they are overpaying.”
Mobile broadband is also worth considering as a moneysaving option, as there is no need for a BT line and its associated rental cost, which currently stands at around £131 a year.
Says McArdle: “Mobile broadband was once considered a luxury to supplement one's broadband use outside of the house. However, like home broadband, mobile broadband prices have dropped dramatically in 2008, its speeds have risen and its download allowances have become more encompassing.
“With talk of recession on the horizon, there is no room for complacency and consumers must reconsider their expenditures and make savings where they can. Savvy householders are taking advantage of record low prices for broadband and are switching in increasing numbers.”