Netflix to launch £4.99 monthly plan but you'll have to watch adverts - here's what's happening

Netflix is to launch a new cheaper payment plan on 3 November, costing £4.99 a month - but you'll have to put up with adverts and initially, you'll have less to watch than other subscribers. Here's what's changing and how the new plan compares.
You can also read our Best streaming services guide and our 18 Netflix hacks for full info on how to stream as cheaply as possible.
Netflix to launch 'Basic with Adverts' plan - what's changing
The new plan, titled 'Basic with Adverts', is designed for those who are after a cheaper deal but who are willing to compromise by watching adverts - a first for Netflix.
At launch, either 15 or 30 second adverts will appear for four to five minutes, on average, every hour. Netflix wouldn't explicitly confirm if advert length or frequency will change in future but said this will most likely evolve. Ads will play before and during content. Newer films will play adverts at the start while older films will have adverts at the start and throughout.
Netflix said ads won't currently be targeted based on your personal data or usage. And it has said that, at launch, it will not show any ads on content aimed at children aged under 13-years-old, regardless of the profile being used.
The new plan will also have roughly 5% to 10% less film and television content compared with the streaming service's existing tiers, due to licensing restrictions. But Netflix said it is working to enable users with the new plan to access all of its content in future.
Netflix's current plans - basic, standard and premium - will remain at their current prices. The only change to existing plans is that basic users will see their picture quality boosted from 480p to 720p on 1 November.
How Netflix's plans compare
Here's how the Basic with Adverts tier compares to Netflix's existing plans:
Plan | Monthly cost | Number of devices you can stream on | Picture quality | Can you download content | Will adverts be played |
---|---|---|---|---|---|
Basic with Adverts (1) | £4.99 | One | High definition (720p) | No | Yes |
Basic | £6.99 | One | Standard definition changing to high definition (480p changing to 720p (2)) | Yes - on one device | No |
Standard | £10.99 | Two | Full definition (1080p) | Yes - on two devices | No |
Premium | £15.99 | Four | Ultra-high definition (4k+HDR) | Yes - on four devices | No |
(1) Only available from 4pm on 3 November 2022. (2) On 1 November 2022.
How to switch to Netflix's new plan
From 4pm on 3 November:
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Existing Netflix customer?
Just log in to your Netflix account, under "Plan Details" select "Change Plan" and choose the "Basic with Adverts" option.
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Not a Netflix customer? You can sign up on the Netflix website. Netflix has confirmed it won't offer any free trials of the new service, as is the case with its existing plans.
Netflix recently upped the prices of its plans - but you can cancel penalty-free
The move by Netflix comes after the streaming service upped its prices earlier this year. From March, Netflix subscribers saw costs rise by up to £24 a year. Basic and standard plans rose by £1 a month, while the premium plan increased by £2 a month.
If you're unhappy with the service, all of Netflix's plans - including its new offering - can be upgraded, downgraded or cancelled at any time penalty-free without reason.
If you no longer want an account, you can stop your membership by logging in and selecting "Cancel Membership" in the membership and billing section. If you cancel midway through your billing cycle, you'll be able to carry on using your account until the next billing date.