O2 launches low-cost broadband service

O2 offers download speeds of up to 20Mbit/s for £9.79 per month

O2 has announced a new low-cost broadband package which it claims offers great value for money.

The new package promises to save money without compromising on performance, and is priced differently for existing and new customers.

O2 offers download speeds of up to 20Mbit/s for £9.79 per month for O2 mobile customers, and £14.68 for non mobile customers. The firm said that there was no usage allowance.

"It has been a truly fantastic first year for O2 Home Broadband," said Peter Rampling, marketing director at O2. "And with the new broadband services providing even better value, speed and service, we think both new and existing customers are going to love them even more."

Bigger users, such as small businesses, can sign up for a pro service which comes with an enhanced router, better coverage and more reliability, according to O2. Customers will get upload speeds of 2.5Mbit/s, prioritised customer service, unlimited usage allowance and a free static IP address.