Vodafone Ireland to hike prices annually by at least 3%

Vodafone Ireland has introduced a minimal annual price increase of at least 3 per cent for new mobile bill pay customers and bill pay clients who upgrade or renew their contract.

The company said it was introducing the minimal annual price increase based on the Consumer Price Index figure published by the Central Statistics Office in January of each year. In the event that the rate is negative, a 3 per cent increase will be applied.

As such, if there is no inflation, a bill pay mobile current monthly plan of €40 would see a 3 per cent increase of €1.20, the €60 plan would see an increase of €1.80, and the €80 monthly plan a €2.40 increase.

The increase does not apply to prepay; 30-day SIM-only plans; business corporate plans; insurance; mobile add-ons or extras; home broadband; television/landline; out of plan charges; and V and smart tech products.

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The increase will not affect existing Vodafone customers for the duration of their current contract, and will only impact them if they upgrade or re-contract on or after July 30th.

The price increase applies to mobile bill pay customers who sign up to a new minimum term contract from July 30th, including customers who upgrade or re-contract from that date. It will be applied to the customer’s bill in April of each year.

The company said the increase was to “support continued growth and innovation” across its networks, products and services.

Its rival Eir announced plans in recent weeks to increase its broadband and phone prices for some of its consumers. Eir’s 8 per cent rise will represent an extra €6 a month, and will add €72 a year to the average annual bill. The price rise had been postponed due to the outbreak of the Covid-19 crisis but is now due to be implemented from September 1st.

‘Ongoing investment’

A spokesman for Vodafone Ireland said the annual price increase “reflects our ongoing investment in upgrading our network and services and supporting the ever-growing demand we see from customers”.

He said that since entering the Irish market, the company has made “significant investment in its network as well as in supporting technologies and infrastructure”.

“Vodafone was first to market with transformational innovations such as 3G, 4G and 5G and has been recognised as ‘best in test’ for its mobile services in Ireland for the last six years, across voice, data and quality with the best connection in the market.”

He said the company “understands how important connectivity is to everyday life which is why our price adjustment reflects the rising investment that we are making in upgrading our networks, so that customers are getting the best from our services”.

Vodafone Ireland reported last week that service revenues rose 2.1 per cent in the first quarter to €198.8 million versus the same three months a year earlier.

It said its fixed broadband customer base jumped 4.3 per cent year on year to 301,200, while it also added 17,000 additional mobile subscribers.