Episode 406 - On this week's episode I reveal the mobile and broadband providers that bake mid-contract price rises into their contracts as well as those that don't. I also explain your cancellation rights whether you are in or out of contract and I urge listeners to engage with me on Twitter to highlight the issue and demand change. I also explain some of the economic indicators that people should be aware of and how they can influence investment markets. Finally, I reveal the best and worst investment platforms when it comes to paying interest on the cash you hold in your ISA and SIPP.
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Episode 406 Summary
Mobile & broadband price hikes
In this section of the podcast we discuss the mid-contract price hikes for each mobile and broadband provider. You can find links to articles in the "Resources" section below that contain summary tables of the 2023 mid-contract price hikes split by provider. Most providers are increasing the price of their contracts for existing customers by CPI+3.9% where CPI is an official measure of UK inflation, known as the Consumer Prices Index.
With most mobile and broadband providers using the official CPI number for December 2022 (10.5%) it means that many customers' plans will increase by 14.4% in 2023.
How to beat the mobile phone and broadband 2023 price increases
If you are out of contract you are free to switch provider at no cost in order to secure a better deal. Use a service such as cable.co.uk to compare the best mobile and broadband deals.
If you are have a 30 day sim-only mobile contract (i.e on a rolling contract) you can serve notice on your contract and switch providers without penalty.
If you are still in your contract period you are free to switch providers without penalty if the mid-contract price increase is not stated in your terms and conditions of your contract. If it is contained in your contract's terms and conditions then you will likely have to pay a penalty to switch providers.
On the show we also reveal those mobile and broadband providers that have agreed to not increase prices mid-contract.
Investment platform cash interest rates for ISAs and SIPPs
Full details of this section of the podcast can be found in the "Resources" section below.
Key Economic indicators
In this part of the show we discuss economic indicators and how they can impact investment markets. Economic indicators are macroeconomic statistics that can inform investors about the intrinsic value of an investment and they are divided into lagging indicators and leading indicators. Lagging indicators tend to be delayed in their reaction to a change in the economic cycle, while leading indicators tend to front-run future changes in the economic cycle.
We highlight some key economic indicators to watch. Lagging indicators mentioned includes the consumer price index (CPI), which measures the increase in prices as experienced by consumers and informs central bank interest rate policy. Meanwhile, Gross Domestic Product (GDP) measures the monetary value of all goods and services produced in an economy and can indicate whether an economy is in recession or growing.
Leading indicators mentioned include the purchasing managers' index (PMI), which measures the health of the manufacturing and services sectors in a country. It gives an indication of the rate of expansion or contraction of particular sectors within an economy. We also discuss house price indices, retails sales and consumer confidence surveys.