Cheap Broadband

The internet is no longer just home to techies, it's a focal point for music, TV viewing and even dating. Therefore cheap reliable access is crucial, luckily fast home broadband is now available for a little over a fiver a month. This is a full guide to the cheapest providers, allowing you to slash your costs and save £100s.

• How broadband works
• Switching broadband provider
• Choosing a broadband package
• Best Buys: Can you get it free?
• Best Buys: Bundled with home phones
• Best Buys: The cheapest packages
• Get cashback on top
• Other Articles/Discuss

Broadband: Don't get your wires crossed

How Broadband works

Where it's available, broadband has now all but replaced dial-up web access (see Cheapest Dial-Up). To get it, most people use an upgraded home telephone line called ADSL (Asymmetrical Digital Subscriber Line), though fibre optic cable services are also available.

As well as being many, many times faster than dial-up, broadband offers a couple of other key benefits: it's always connected, so you needn’t wait to get online each time, and it allows you to make & receive phone calls on the same line while it’s being used.

How does ADSL make the line faster?

With dial-up, the computer's modem converts data into a noise, which passes as an electrical signal through the phone line, and turns back to noise at the other end for another computer to interpret. Yet with ADSL the data is more efficiently converted straight into electrical signals, plus it’s transmitted over a much wider frequency range, so more is carried.

New to broadband?

If you're new to broadband, when you subscribe to a provider it will organise for the line to be set up to receive broadband. If it hasn’t already been, this takes around a week and you shouldn’t notice any difference to your phone line.

The company should also provide you with a broadband modem, which is the piece of equipment allowing your computer to use the signal, and many will give you a router for connecting multiple machines up too.

You should also get one or two 'microfilters', which, when plugged into your phone socket before your modem, help it to get a cleaner signal, reducing interference and upping your speed. These make quite a difference (you may even get no access without them), so it's important to use them wherever possible.

Of course, all this equipment costs the service provider money, so most will lock you into a minimum 12-month contract to recoup costs.

Switching broadband provider

Switching broadband provider is in essence quite simple, yet until recently it was made much more difficult by uncooperative companies. Thankfully this is gradually changing as the regulator, Ofcom, is coming down hard on them.

If you are switching provider there are a couple of checks to make:

• Are you locked in?

  Check you’re actually allowed to switch from your current provider. Many broadband providers' contracts last a year or 18 months; try to leave before that time and you may be charged a penalty. Even if not, you'll almost certainly have to pay for any equipment you received at the beginning of the contract.
  

• Is there a migration fee?
  
  Most providers nowadays will transfer you to their service for free, since they want your business, but a dwindling number still charge a migration fee of around £15. It’s also important to note that for technical reasons the new company usually only allows you to switch to its service at the same speed as your current provider’s speed, but after that you should be able to upgrade.
  
  
• Ensure you know your MAC code.
  
  Call up your existing broadband provider and ask it for your MAC code (Migration Authorisation Code). Don’t worry, this is a standard process and you should get it without a hassle. It does however give providers an opportunity to persuade you to stay by offering a much more competitive deal than you currently have. Don't dismiss this out of hand, they may even offer you a better deal than the one you're switching to.
  
  Once you have the MAC code, give it to your new provider and it should mean much less downtime when you transfer, possibly even just a few hours. Without it the transfer across can take weeks, so make sure you have yours handy.

If you don't want to switch, try haggling with your existing provider. It's possible it'll up your speeds or drop the package price if you ask nicely. Go armed with details of the current best buys for new customers as a benchmark price. For more details read the How To Haggle Successfully article.

Choosing a broadband package

There are a range of variables to take into account when choosing a broadband package:

• How much will you use it?
  
  Providers usually set their charges based on the volume of data used. This is measured in Megabytes, MB , or Gigabytes, GB (1,024 MB ) and has nothing to do with the time spent online. Leaving the internet connected doesn’t cost anything, it’s only ‘doing things’ that uses up the bytes.
  
  Viewing 25 web pages takes very roughly 1 MB , so a low 1 GB monthly limit means roughly 25,000 pages. Thus, for those doing just a little web-surfing & downloading e-mails, the limits are irrelevant. Yet downloading music, software or videos eats up the data much faster, as does watching content from one of the growing number of web TV services.
  
  To keep on top of your data use, download a free bandwidth monitor. As well as letting you know exactly how much of your quota you have left each month, they can warn you when you're nearing the limit. ThinkBroadband's tbbMeter promises to track usage on multiple machines in the near future, while options Rokario & Netmeter only work per PC, not per connection, so if you've more than one computer connected to the net you’ll have to tot up the different bandwidth amounts to make up the total.
  

• Do you watch web TV?
  
  If you've embraced the idea of watching TV shows on your computer, it's important to be aware of the costs. Streaming video (when the shows are piped directly to your screen), whilst better than downloading, can still eat up data very quickly.
  
  For example, watch an hour-long show in high quality on the most popular web service, BBC iPlayer , and you could plough through 600MB of data. If you've an unlimited download package this won't be an issue, but those with low monthly data allowances should think twice before viewing; a 2GB allowance equates to under 3.5 hours viewing at full (not HD) quality.
  
  
• How fast is it?
  
  Internet speed is measured in Kbps (Kilobits per second), the amount of information transferred per second. Basic broadband is 512Kbps, nearly ten times faster than dial-up, yet 8 Mbps (c.8,000 Kbps), a further 20 times faster, is becoming increasingly common, and super-fast 24 Mbps is now available in some areas.
  
  Yet just because a package says up to 8 Mbps don't assume that's what you'll get; it's dependent on a number of factors, including how close you are to your nearest BT exchange, how well-equipped the latter is, and how many local people are competing with you for bandwidth, so your speed may be much less. You can check yours using Think Broadband's speed detector.
  
  If it’s pure web surfing you’re doing, the difference between 512Kbps and faster broadband has an impact, but it’s not huge, as some websites simply aren’t capable of pumping information out more quickly. The real impact of faster broadband is when downloading music, streaming videos or online gaming, or if different family members connect to one line with different computers.
  
  
• Technical Phone Support.
  
  If you don’t know your modem from your mobile you may find yourself on the phone to technical support a lot while setting up your broadband. As this can cost up to 50p/min a few 20 minute calls easily eat away any saving from getting a cheaper package. Of course, you could also ask for help from fellow MoneySavers on the Technical Board but only if you’ve managed to get online.
  
  
• Traffic Shaping.
  
  During peak times, or when there's heavy traffic, most providers will cut the speed of your connection. They do this by giving different types of traffic different levels of priority. Thus, the brunt of the speed cuts will hit those downloading via peer-to-peer, file sharing services such as BitTorrents, as these are easy for the providers to spot, and they're considered low priority traffic. Again, for the average user it shouldn’t be an issue.
  
  
• Do you want it bundled with your telephone line?
  
  Some of the very cheapest broadband packages come as part of an overall phone/broadband package. If you’re looking to get this all in one status then instead please read the Cheapest Home Phones article.
  
  
• Are you on the move?
  
  If you're on the move with your laptop or don't want to have a BT landline, it's possible to connect to the web via mobile broadband from as little as £10/month. Instead of connecting through a landline, 3G web access makes use of mobile phone networks to send data, meaning you can connect wherever there's a mobile signal. Yet you don't need a mobile phone to do it; these packages come supplied with a little modem that takes its place For full options read the Cheapest 3G Web Access article.
  

Can you get broadband free or subsidised?

There are a few providers offering free or cheaper broadband when it's bundled with other products. While it's rarely worth getting these products just because of the broadband, if you already have them and are happy with what you’ve got, you may as well use the broadband.

• Got an Orange Monthly Mobile Contract?
  
  If you have an Orange contract (exc. SIM-only), you might be able to get 8 Mbps Orange broadband* with a not-insubstantial 10 GB download limit for nowt, the only catch being that you need to be in the 65% of the population near an Orange-bundled phone exchange (Check here). If not you'll pay £7.83/month for the same service, meaning it's often beaten by standalone providers below.

  Do remember, the cost of the mobile bill will often easily dwarf the benefit of the subsidised broadband, so don't plump for the mobile provider because of it. Read both Mobile Phone Contracts: Batter Your Network Down and the Mobile Phones: Full Cost Cutting Plan to ensure you get a good deal.
  

• Do you have an o2 contract or just grab an o2 Pay-As-You-Go?
  
  If you have any o2* mobile you can get unlimited broadband at specially discounted rates; 8 Mbps is £7.50/month, 16 Mbps is £10/month or 20 Mbps is £15/month. These are much cheaper than you'll find elsewhere, connection is free plus you get a wireless router and free technical help thrown in. It doesn't impose a download limit, though it is subject to a 'fair usage' policy. It's only available to roughly 50% of the country at the moment, though this should increase.
  
  Alternatively if you're willing to play the system, it's possible to get cheap unlimited broadband just by grabbing a free PAYG sim. Simply pick up a free sim* and top up by £10 every three months to qualify for the cheap broadband.
  
  
• Got Sky TV?
  
  Sky TV customers can get 2 Mbps Sky broadband* with a 2 GB usage cap for free, but only if they take its Skytalk home phone package, or else it's £5/month. There's a £60 installation fee if you take its base package, and you'll need to be in a Sky network area or the cost jumps. SkyTalk isn't amongst the cheapest home phone providers (see the Home Phones guide), but this deal makes it appealing to light landline users .
  
  
• Get Free Wireless Broadband.
  
  As a final thought, if you've got a laptop which allows you to use wireless internet (all those made in the last few years will do, and even some new phones!), it's worth noting that along the high street there are a growing number of places that will allow you free wireless access.
  
  The widespread pub chains Wetherspoons and Walkabout now offer all customers unlimited Wi-Fi access, as do McDonalds restaurants nationwide. Coffee shop chain Coffee Republic also offers wireless to customers in some stores, but you'll need to spend £2 for 20 minutes access and £5 for 45 minutes. For full details, and more ways to get free access, read the Free Wireless Internet access article.

Best Buys - Cheapest broadband packages

Below are our top picks after comparing 50+ broadband products. It’s purely price focused, as broadband customer service tends to have a huge ‘luck of the draw’ element; with every provider having its disgusted of Dorset and delighted of Devon. For more on customer service reputations use the Broadband Forum section or a dedicated website like Thinkbroadband.

Many providers quote prices without VAT; here we always include it. Also its important to note, once you’ve chosen your top provider, you may be able to considerably reduce the effective price by getting extra cashback on these deals.

Bundles

If you're willing to opt for a bundled package, TalkTalk's home phone and broadband is worth looking at:

• Broadband with home phone.
  TalkTalk £19.41/month: line rental, broadband, free evening & weekend national calls plus anytime local calls.
  
  TalkTalk's* Essential package is £19.41 all-in, over its 18 month contract, which includes the connection fee. Its advantage over Tiscali is free calls to UK landlines at weekends, as well as local daytime calls. If you're likely to call either of those a lot, it's worth going for.
  
  It also offers boosts for £4 each, including extras such as increased speed, a higher download limit, anytime calls and half price calls to mobiles. In most cases the boosts aren't worth it, as you can get those add-ons cheaper elsewhere.
  
  TalkTalk’s broadband is available for most, but not all, of the UK, so do check eligibility* first. At launch, feedback on TalkTalk's customer service was shaky, however reports are this is much better now.
  
  For those on TalkTalk's old version of the Essential's package which included some free international calls, can ask to be switched to the new one with free local anytime calls instead. Otherwise you'll be automatically swapped over when your current contract ends.
  
  URGENT UPDATE 26 May 09. TalkTalk £50 cashback offer
  
  Sign up to TalkTalk's essentials package via comparison site Simplify Digital* before Sun 21 June and it'll pay you £50 cashback, making it even cheaper. The cheque will be posted 90 days after installation but you must go via Simplify Digital to get the cashback.
  
  Over the 18 mth contract, it costs £16.63/mth (inc. all charges & cashback). This is by far the market's cheapest, and ONLY £5.38/mth more than basic BT phone line rental. This is better than the offer you can currently get direct through TalkTalk*. It's offering free connection for a limited time, making the overall package £17.74 over the first 18 months.
  
  

No BT landline?

• Cheapest alternative broadband.
  Virgin Broadband with phone. £22.75/month
  
  If you've been cut off from BT or don't want/have a landline your broadband options are limited. The cheapest non-BT broadband is Virgin's Broadband with phone* , which after some number-wrangling works out at £22.75/month, including a cable landline (call rates).
  
  If you're already with Virgin try haggling; some users have reported substantial savings on packages after threatening to leave. Some have even managed to get installation fees refunded, no questions asked. Read the Virgin Media Haggling article for more details.
  

Cheapest standalone broadband packages

• The overall cheapest: 10Gb download limit
  Plusnet Option 1. £5.99/month inc. free wireless set-up.
  
  The Plusnet Value* package at £5.99/month is the cheapest broadband available and has a generous 10GB daytime download limit and unlimited downloads from midnight to 8am. Go over the download allowance during the day and it'll cost you £2 for 2GB.
  
  The speed is up to 8Mbps, with a free wireless router included, though it's worth noting that traffic is quite heavily managed during peak times, so downloaders should expect to have their speeds strangled in the daytime. Provisions have been made for online gamers, however, who should still find it speedy.
  
  You also get a free wireless router and free activation with this package but are tied into an eighteen month contract. Existing customers on an older deal can get this, even in contract, though you won't get the free wireless equipment and you will have to start a new eighteen month contract.
  
  It's worth noting that if you're in the 20% of the country that can't get this offer (you'll be told when you enter your postcode) you'll only get the first three months at £5.99, after this it'll set you back £11.99/month, meaning you should try elsewhere.
  
  QUICK FACTS. Speed: Up to 8Mbps Download Limit: 10 GB Modem & Connection Fee Included: Yes (subject to 18 month contract) Migration Fee for switchers: None Technical Support Phone Costs: 4p (Geographical 0114) Traffic Shaping: Yes, strong
  
  
• Cheapest unlimited downloads inc wireless set up.
  o2 £12.23/month (£7.34/mth for existing o2 mobile customers)
  
  For unlimited downloads, O2* offers an 8Mbps broadband package for £12.23/month with no traffic shaping, and existing o2 customers get it £5/month cheaper.
  
  This also comes with a free wireless router so if you have a laptop you'll be able to connect to the net anywhere in the house. If you don't it will work in the same way as a normal modem. Usually providers charge up to £40 for these, though it's possible to pick up a decent model for around £20.
  
  QUICK FACTS. Speed: up to 8Mbps Download Limit: None (Fair usage policy applies) Modem & Connection Fee Included: Yes, including a wireless router (£6.99 for postage). Migration Fee for switchers: None Technical Support Phone Costs: Free (0800) Traffic Shaping: None, congestion at busy times though
  
  
• No contract broadband with no traffic shaping.
  Newnet 1 £12.95/month
  
  If you're moving house soon, or don't want to be tied down to a 12 month contract Newnet offers monthly contracts at an extra cost. Newnet's package is £12.95 for a month by month contract though you may have to pay an exit fee of about £13.
  
  QUICK FACTS. Speed: up to 8Mbps Download Limit: 4 GB Modem & Connection Fee Included: £39.95 if you're new to broadband but no modem. Migration Fee for switchers: Free Technical Support Phone Costs: 4p/min (Lo-call 0845) Traffic Shaping: No
  
  

Can you grab cashback on top?

It’s often possible to grab extra cashback on top when you sign up for a broadband package. Yet it isn’t done direct. To get it you need sign up via a specialist cashback websites; these use affiliate links to generate revenue, and if they get paid when you get it, they give some or all of it to you.

Yet always first check that it's an identical product, clear any cookies if you’ve already clicked through, and remember as the cashback isn’t coming from the product provider, it's never 100% guaranteed. You're playing the system to an extent, and there can be problems.

Therefore it's generally best to pick the right product first and view the cashback as an added extra. For more information, pros and cons, and to find which cashback providers pay most for any product, see the Top Cashback Sites guide.

Plus sometimes there are special higher rates negotiated for the short term. These tend to have a higher payout reliability; when they happen we’ll list them below and include info in the weekly e-mail.

Glossary