New rules forcing phone, broadband and pay-TV companies to alert customers when their current contract is ending come into force tomorrow (15 February).
Firms will also have to tell customers how much they can save by signing up to a new contract, potentially helping to cut the number of consumers who see prices soar after introductory offers expire at the end of their initial contract.
Regulator Ofcom says out-of-contract broadband customers could save around £100 a year just by signing up to a new deal with their existing provider, while many could even boost their speeds while also paying less.
It also says mobile customers could save between £75-£150 a year by switching to a cheaper ‘SIM-only’ package at the end of their existing deal.
Lindsey Fussell, Ofcom’s Consumer Group Director, said: “Millions of people are out of contract right now and paying more than they need to. These new rules make it easier to grab a better deal.
“But you don’t need to wait to hear from your provider. Just a few minutes of your time could save you hundreds of pounds today.”