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Sky Raises Broadband Prices Up To 50%

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So this isn't going to be popular...

Having lured hundreds of thousands of customers to its cheap-to-free DSL broadband service Sky is apparently about to turn the tables with a number of drastic price increases.

While as yet unofficial SkyUser.co.uk claims the media giant from March will bump its Base (2Mbit), Mid (8Mbit) and Max (16MBit) packages from free, £5 and £10 respectively for Sky TV subscribers to £5, £10 and £15. Interestingly however, there's a twist.

In an aggressive to boost sales of Sky Talk, the Murdockian empire will keep prices unchanged for everyone who signs up to the phone service. Simultaneously Sky will also offer existing broadband customers a '10 month discount' of £5pm meaning in effect customers won't feel the price hikes until 2010. On the other hand any customers who sign up after 20 November 2008 will be hit with the bump in just four months time.

So in essence what we have here is a price jump, a pushing of yet another Sky service and a masking 'promotion' which suggests impending and existing customers should feel grateful for it all. Hmmmn, not the greatest news in these banker-made-recession times of ours.

Still, gotta pay for that Premier League football somehow...

Update: Sky has been in contact with us to confirm the story and will also be sending us an official statement. Naturally our perspective is this deal could indeed make people better off if SkyTalk saves them some money - on the other hand it's always nice to have a realistic option to choose what services you want without financial penalty.

Update 2: Bang on time, here's that statement:

"More of our Sky TV customers are saving money by switching to us for phone and broadband and the biggest savings are available to those who take a bundle of all three products. Most of our broadband customers already take Sky Talk so there will be no change to what they pay. We believe in being fair with customers so we're giving plenty of notice of these changes. Any customer will be able to save £5 a month on Sky Broadband {on the impending price increase} by taking a Sky Talk package with no monthly fee. But even without taking Sky Talk, we're confident that Sky Broadband customers will continue to enjoy great quality and value."

Final word: I understand that 1m of 1.8m Sky broadband subscribers already take out SkyTalk though the news will still affect 45 per cent of customers. To be fair SkyTalk rates are good, but if you're on an alternative calls package that you prefer then you've a decision to make...

Link:
via SkyUser

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