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Old 10-12-2014, 21:01   #201
Bircho
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Re: Virgin Media to raise broadband and phone prices in Feb 2015

I think you need a maths degree to work this out (or fortunately know Excel pretty well) so here goes.

My current package is TV XL, 2 x Tivo, 2 x V-HD, 100mb BB, Landline with anytime on call saver to expire at end of July. Also have Sky Sports & Movies and have a loyalty discount meaning the current package is £113.25 pm. The increase will take it to initially £118.14 an immediate increase of 4.3%.

So the percentages.

If I take out a new call saver when the existing one runs out (and given the price does not increase again which knowing VM you can't tell) then then my effective monthly price for the next 12 months will become £130.83 as opposed to £125.25 at the current time, therefore my personal increase is 4.46%. That is I have my existing call saver for 7 more months and the new one for 5 months to give me annual cost.

However, if I did not have call saver then my bill would be going up from £129.24 to £135.13 an increase of 4.56%.

With me so far?

So how does this compare? I have looked at the current 50% discount on TV package from Sky for 12 months and then added this to compare phone and broadband packages with Sky and Plusnet.

On the TV, I have tried to compare the best I can across box types that is 2 HD+ boxes plus 2 HD boxes. The best offer from Sky is for one of the HD+ boxes to be a 2TB and the other 1TB (I currently have a 1TB and a 500mb Tivo Box).

For the Sky Package I have added BT Sports in HD purchased direct from BT. I have only put on one box as in reality this is how it is watched. I done the same with Plusnet as they offer a cheaper BT Sport package if you have their broadband. I did look at the BT packages but because of the 6 months free offer from Plusnet both the 12 month and 18 month of BT was higher, even taking into account BT Sport.

Because Sky do a max of 38mb for the broadband (although Openworld tests show my property would receive 40mb) I have matched this against the same Plusnet package. I accept this is less than the 100mb from Virgin (although I have just done a test and am getting 68mb at current time) but I think this is more than adequate for my needs. All are unlimited.

With both Sky and Plusnet there are upfront costs. I have taken these costs and divided by 12 to get a monthly average. If I was to swap I would lose around £84 from Virgin for Call saver. However, the Sky boxes would have a residual cost after 12 months so having had a quick check of the prices on ebay at moment I think £84 would not be far off the mark so I have not taken this into account.

There is no call saver available from Sky but there is from Plusnet at £155.88 per annum. I have not taken into account answer phone which is free on Virgin and Plusnet (although not if you have call saver) but not on Sky. Anytime is £5 on all three.

For Broadband, Plusnet are offering 6 months free. Sky are offer half price for 12 months. I have taken these offers into account when working out the monthly cost.

So the costs?

With Virgin the 12 month cost is £1570.01 or £130.83 per month.
With Sky only, including the upfront costs, it is £1526.80 or £127.83 per month
With Sky and Plusnet it is £1523.68 or £126.97 per month.

That is for the first 12 months.

After 12 months?

Well the Sky Package would increase by £33 but the upfront costs would have been paid for meaning an effective increase of £11 on the Plusnet comparable and £15.67 on the Sky comparable. But then there is a possibility of a return to Virgin (at least for TV as BB and phone are 18 month contracts) on a new customer package.

So, in conclusion, a transfer will save around £4 per month for me (or just about the price increase) so I think the decision would be what is the better system - or get Virgin to stop the increase?
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