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Netflix raises subscription prices in US, but UK is safe for now

Netflix has announced it is increasing the price of its most popular plan for subscribers in the US, Canada and Latin America.

The firm’s ‘Standard’ 2-screen subscription tier will now cost new members $9.99 a month instead of $8.99, while the others (Basic and Premium) will remain static.

Current subscribers will enjoy a year-long grace period before their subscription costs go up.

Right now it appears that members in the UK and Europe are safe for now.

The increase will generate an extra $750m a year in revenue for the streaming pioneer, which will be used to cover the cost of Netflix’s ever-increasing array of original content.

The likes of Daredevil, House of Cards, Orange is the New Black and, most recently Narcos, have proved huge hits among subscribers.

See also: Netflix vs Amazon Prime Instant Video

In a statement, the company wrote: “To continue adding more TV shows and movies including many Netflix original titles, we are modestly raising the price for some new members in the U.S., Canada and Latin America.

As a thank you to existing Netflix members — who aren’t already benefiting from a previous price guarantee — we will maintain their current price for a year.”

Netflix is facing increased competition from the likes of Amazon Prime, which costs just $99 a year and is bundled with free delivery from and a host of bonus features like Prime music, Kindle lends and free photo storage.

Traditional cable networks like HBO and Showtime in the US are also offering unbundled services, so the quality of Netflix’ original content is more important than ever.

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