Broadband bills could be cut for millions of low-income households under Government plans to encourage social tariffs. 

A new service run by the Department for Work and Pensions (DWP), will allow internet service providers to verify – with customers’ permission – whether they are in receipt of a relevant benefit and therefore eligible for extra financial support. 

The Government has called on all broadband providers to offer and promote social tariffs – discounted broadband and mobile deals for people on Universal Credit and other benefits – with statistics showing only 1.2% of those eligible have taken advantage of such a package.

The scheme is already supported by Virgin Media O2 who, following discussions with Government, has announced that they will use the system to verify eligible customers signing up to their Essential Broadband tariff. The company will also waive early termination fees for those moving from existing tariffs.

Customers on social tariffs could in some cases save over a hundred pounds a year. The new system will also simplify the process by removing the need for customers to prove their entitlement to broadband providers as regularly as every month. Social tariffs are available to eligible customers in 99% of the country following Government-led negotiations with broadband companies.

Source: New feed