Personal finance expert Martin Lewis has issued an urgent alert to mobile phone users across the UK, revealing that approximately 14 million people may be paying inflated bills unnecessarily. Appearing on ITV's The Martin Lewis Money Show, he emphasised that many consumers remain on expensive contracts long after their initial terms have ended, often because they originally signed up for packages that included a new handset.
The Simple Text That Could Save You Hundreds
Lewis provided a straightforward solution for anyone unsure about their contract status. He advised mobile users to send a free four-letter text message to check whether they are still bound by their agreement. Texting 'INFO' to 85075 will generate an immediate reply confirming if any early termination or cancellation charges apply.
"If it says £0, you're out of contract," Lewis explained. "That means you're a free agent - you can go and get the cheapest deals, you can cut your costs." He stressed that this simple check could potentially save households hundreds of pounds each year on their mobile phone expenditure.
The Growing Cost Gap Between Existing and New Customers
Martin Lewis highlighted a concerning trend in mobile pricing structures. While existing customers face continuous price increases, SIM-only deals for new customers have become significantly more affordable. He illustrated this disparity with a compelling example: two years ago, a 50GB SIM package typically cost around £9 per month, whereas similar deals are now available for as little as £3 monthly.
"Existing customers are going up and up in price, while new customer deals are going down and down," Lewis observed, pointing to the widening financial gap that penalises loyal customers who remain with their original providers.
How to Switch to Cheaper SIM-Only Deals
For those who discover they're out of contract, Lewis strongly recommended switching to SIM-only arrangements. These deals typically offer the same data allowances, minutes, and texts for a fraction of the cost of traditional contracts. However, he cautioned that these competitive offers are often not promoted directly by major mobile networks and are usually found through comparison websites.
Lewis provided practical advice for families on multiple-phone contracts who might not receive a text response. He suggested a simple rule of thumb: "If you haven't changed your mobile deal in two years, you are likely to be out of contract."
Keeping Your Existing Phone Number When Switching
Addressing common concerns about changing providers, Lewis explained the straightforward process for retaining your current mobile number. By texting 'PAC' (Porting Authorisation Code) to 85075, users receive a unique code that can be provided to their new network provider, ensuring seamless number transfer without disruption to service.
He also reassured viewers about network coverage concerns, noting that there are only four physical mobile networks in the UK, with all other providers operating on one of these infrastructures. "If you like your signal, just look for the cheapest deal that uses the same network," Lewis advised, adding that this filtering option is available on comparison sites including MoneySavingExpert.com.
Act Now Before Prices Increase Again
Martin Lewis concluded with an urgent call to action, encouraging mobile users to check their contract status promptly. "My main message is simple - do the text, see if you're out of contract and check before prices go up and whether you can save a shedload by switching," he urged viewers. With mobile providers regularly implementing price increases, taking immediate action could result in substantial long-term savings for millions of UK households.
