Switching home phone companiesSwitching

Most of us take our home phone for granted. As long as it works, we don't care how, which may explain why more than half of us are still with BT, more than 25 years after the market was opened up to competition.

Save money by switching

Switching is a simple way to cut your bills

But staying with the same supplier could be costly. Our research shows seven out of 10 people who switched to a different company felt they ended up paying less.

If you're unhappy with your phone company there's nothing forcing you to stay, unless you're tied to a contract, and 85% of people we asked found switching easy. Even if you've already switched, look at the options again as offers change constantly.

Bundling telecoms services together can also save money. TalkTalk from the Carphone Warehouse, for example, offers to bundle together line rental, a calls package and broadband for £16.39 a month on an 18-month contract. See our guide to choosing a home phone bundle for more information.

The exception to the switching rule is people in the area served by Kingston Communications (East Yorkshire) who have little choice about their main provider. However they can cut call costs by using prefix providers (see below).

Your options

1. Save on more costly calls

Keep your existing provider but use a prefix company to make calls to mobiles or abroad.

18185.co.uk, for example, charges 3.5p a minute to UK mobiles at weekends and 6p a minute at other times – significantly cheaper than standard BT rates. It bills you for calls made using its prefix.

2. Change for calls only

If you want to stick with BT for line rental but use another firm for calls, choose one that offers a calls-only option. You get a bill for calls from your chosen firm and one from BT for line rental, plus any dial-up internet access you use.

3. Switch whole phone service

You could choose to pay for both calls and line rental from a firm such as the Post Office or Utility Warehouse. BT still owns your line but your new provider pays BT for its use. You could also switch to cable if it's available in your area.

All the companies we’ve looked at offer line rental, but most also offer a calls-only service.

Calls packages

'Free' calls usually only apply to UK landline numbers starting

Although paying line rental is unavoidable, for your calls you can choose whether to pay as you go, as with BT's Unlimited weekend plan, or to pay a fixed monthly fee that includes certain types of calls.

Inclusive calls can be worth paying a subscription for if you use your home phone a lot, but make sure you really do make enough calls to justify the monthly cost.

If you’re sure you need a calls package, check the package you’re paying for includes the types of calls you make. If you make a lot of calls during the day, for example, then a package that only includes evening and weekend calls may be false economy.

And when choosing a package that includes free calls, remember ‘free’ usually applies only to UK landline numbers that start with 01, 02 or 03. Using a prefix provider may save you money on international calls or other calls that aren’t included in your deal – such as 0870. 18185.co.uk charges just 0.5p a minute to call the US, for example, compared with BT standard rates of 11.5-17.5p a minute.

Hidden charges

If you opt for paper billing or you choose not to pay by direct debit, you may have to pay an additional fee. Companies say it’s because it costs them more to process non-direct debit payments. Some providers, such as Tesco or TalkTalk, won’t let you pay by anything other than direct debit.

How to switch

• Choose who you want to switch to using our survey and websites such as uSwitch.com or SimplySwitch.com. Check for cancellation or connection fees.
• Contact your chosen company to arrange the switch (you'll have to cancel with your existing provider only if going to or from cable).
• Your existing and new provider will confirm the switch date which should be within 10 working days.