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UK mobile users 'throwing money away'

by Matt Chapman

24 Mar 2006

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61 per cent of customers regularly exceed their monthly call and text packages
Two per cent of the UK's mobile phone users never even open their bills

British mobile phone users are wasting a collective £132m a month because they are on the wrong tariff, according to a study by T-Mobile

The study found that 61 per cent of customers regularly exceed their monthly call and text packages.

"Consumers are losing millions every year through over-priced and inflexible mobile phone tariffs. It's time they insisted on more flexible and better-priced packages," said financial commentator Jasmine Birtles

T-Mobile maintained that mobile contract customers lose out because tariffs fail to take into account phone usage varying significantly from one month to the next. Eighty-two per cent of users indicated that their monthly bills can vary by up to £20.

The mobile firm has now launched what it claims is a solution. T-Mobile's Flext tariff sends a weekly text alert to customers telling them how much of their allowance remains and the date of their next bill.

"Because personal circumstances can change, sometimes dramatically, financial flexibility is vital. Once the [Flext] bundle is used up customers are still charged at the same rate, so they aren't punished for going over their limit," said Phil Chapman, marketing director at T-Mobile UK.

Surprisingly, in a market where new handsets can be seen as a must-have item, only three per cent of users said that getting the latest handset was the most important factor when it comes to choosing a new tariff.

Meanwhile, two per cent of mobile phone users admitted that they never even open their bill.

"It's not surprising that many people don't open their bills and statements every month. Sometimes mobile bills can be so enormous you need all the strength you can muster to face the tiger," said Birtles.

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