Broadband Guide

Is cheap broadband worth it?

When it comes to choosing a new broadband plan, there’s so much more to consider than price - a cheap broadband package might be tempting but is it good value? Compare cheap broadband for your household.

Broadband speeds

When you choose a new broadband package you’ll need to choose a broadband speed. Most broadband packages come with a headline download speed of up to 8Mb broadband - though most people only get around 3.6Mb on average (Ofcom, 2009).

There are various factors that affect your broadband speed, and while a cheap provider might advertise a speed of up to 8Mb - the same as many more costly ISPs - what you actually get could differ drastically between the two suppliers.

Cheap providers tend to cram as many people onto their networks as possible, because monthly fees are so low, which will make the network congested and slow you down. You'll also be far more likely to be traffic managed by a cheap supplier and have your speed throttled during peak times.

Many broadband providers now offer speeds of up to 20Mb or 24Mb, with Virgin Media (www.VirginMedia.com) offering the UK’s fastest package with superfast speeds of up to 50Mb.

Broadband download limits

The vast majority of broadband packages have a download limit - even those that are advertised as “unlimited broadband”, because fair usage policies are often applied.

Over the years, as the amount we all download has increased, ISPs have had to fork out more cash on new hardware and bandwidth to support our increasing habit. As this cost has trickled down to the customer, some ISPs have begun to charge for downloading.

Sky Broadband (www.Sky.com) removed the fair usage policy from its Max Broadband package in 2008, making it one of the only truly unlimited consumer packages around. Sky Max Broadband costs £10 a month when taken with Sky Talk and has a download speed of up to 16Mb.

Install our free Broadband Download Monitor to keep track of your downloading and set alarms to alert you as you reach your limit.

Compare broadband packages

Today you often have to choose between “unlimited” downloads with an unspecified allowance or a package with a clear, set download limit. Some set download allowances can be as little as 1GB or 2GB, while other packages offer as much as 50GB or more.

If you go for a package with a set download limit, your downloading won’t be restricted during peak hours but you’ll have to pay a set fee if you exceed your limit.

If you choose a package with a fair usage policy and “unlimited” downloads, your connection will be traffic managed at peak times and throttled if your ISP thinks you’ve been downloading too much.

There’s no right answer to avoid paying for heavy downloads, but you should be realistic about how much you really download and get an appropriate package that could save you lots of aggravation in the long run.

Read more about fair usage policies and download limits.

Cheap broadband bundles

You need to decide if you want to go for stripped down, standalone broadband, or a bundled package, including digital television and telephone calls - or even mobile broadband and a mobile phone - of the kind offered by BT Broadband (www.BT.com), Sky Broadband, Tiscali Broadband (www.Tiscali.co.uk) and Virgin Media.

Don’t just sign up for extra services because they’re cheap, but if you do want a triple play bundle, there are four big providers to choose from.

Sky offers a great digital TV service with reliable broadband, and if your area hasn’t already had its old analogue signal switched off in favour of digital, you’ll soon be thinking about your digital options.

BT offers digital TV in the form of its BT Vision service - essentially Freeview with some added extras, allowing you to add packages and video on demand services on a month by month.

Virgin Media offers the best broadband - regularly appearing at the top of the BroadbandChoices.co.uk speed test league table.

Tiscali offers the cheapest triple play bundle on the market. With its "free line rental" offer for all local loop unbundled (LLU) customers, you can get 8Mb broadband, digital TV including Sky’s basic channels, a home phone and line rental for less than £20 a month.

Protection and security

Buying packages from certain ISPs, like BT or O2 Broadband (www.O2.co.uk) can save money on essential PC security if your package comes with free antivirus software..

It’s not just fact that you’re getting free internet security that makes these packages so attractive; the software is automatically installed when your connection is set up, so if you’re not the most confident with your PC, it’s one less thing to worry about.

We list full details of internet security protection that is supplied with each broadband package. Click here to compare broadband packages.

Customer service

Although TalkTalk (www.TalkTalk.co.uk) has now resolved its initial customer service problems after injecting more than £15 million into improving the service, its past problems highlighted just how important customer service is.

Whether you’re experiencing service problems, have an old computer, or are just a technophobe, if you expect to make a lot of calls to customer services, there are two things you need to take into account; the cost of calls, and the quality of the advice you will receive.

In a poll by Mori (2006), almost 80 per cent of British people said that they didn’t like getting through to foreign call centres. If you are one of these people, it might be worth checking out where your provider’s customer service centre is located. For example, BT, Tiscali and Virgin Media - like many others - have call centres in India, though O2 offers free, UK-based advice.

While being understood is very important, especially with regard to broadband and the technicalities involved, don’t just assume that because a call centre is abroad, the service will be bad. Do your research; Madasafish (www.Madasafish.com) has call centres in South Africa, but has won awards for service.

Equally important, is how much your calls will cost. Make sure you know exactly how much you will be paying for your technical support calls and don’t forget to take into consideration how long you’re likely to be on hold for. If you’re having consistent problems with your ISP, keep your bills to record how much it has cost you to get the problem sorted. At one end of the scale some providers charge as much as 50p a minuter, while O2’s technical support is free.

Use our broadband comparison calculator to check call centre opening hours and get a breakdown of call charges. Why not have a look at our review centre to see what other people say about their providers.

Know your "exit fees"

Many providers charge for breaking your contract early, even if you’re not satisfied with the service you’re receiving.

Always make sure you do your research before making a commitment as some providers offer shorter contract terms, and some even offer “no contract” broadband - though you’ll most likely have to pay a connection or exit fee. But always make sure that you read the small print.

Hidden costs of cheap broadband

While most ISPs will provide a free modem or wireless router when you sign a contract, you might find yourself having to pay out for other costs, such as buying additional hardware or paying for the postage of your goods.

Read more on the hidden costs of broadband.

Finally

Remember, it is not just about the price. Bear in mind exactly what you could be sacrificing for the sake of a few pounds a month - high allowances, fast downloads and reliable connection speeds, PC protection, quality customer service and peace of mind.

While it can also be tempting to go for a bundle because of the cheap headline rates or digital television add-on, always be realistic and keep your needs in mind. If you are unlikely to use the extra services then they will just be a waste of money - no matter how cheap they are.

If you’re sure that you have accurately assessed your broadband needs - both in terms of usage and support, then you are more likely to get a package that’s right for you - but that might not necessarily be the cheapest one.

Do a broadband search. We rank by first year cost, monthly cost and flag any set-up costs. And with an in-depth breakdown of each package, including download penalties and extra benefits, you can make a confident and informed decision.