The pros and cons of different broadband contract lengths

Amid the natural focus on line speed and monthly cost, it’s easy to overlook the significance of different broadband contract lengths when choosing your next ISP.

Indeed, it’s easy to overlook the significance when negotiating with your existing provider, if you’re out of contract but happy to remain a customer.

Yet signing up to a long-term contract might be inadvisable if there’s any possibility of your circumstances changing over the period of time a proposed contract would last for.

In particular, any plans to move house should affect your considerations.

Some ISPs aren’t available in certain locations, while limited Openreach line speeds could mean a dramatic reduction in the average data transfer speeds you’re currently enjoying.

These are the pros and cons of different broadband contract lengths, starting with an option many people overlook altogether…

1. Rolling 30-day contracts

Pros

These contracts suit people whose circumstances fluctuate over the course of a year – second home owners, offshore workers, locums or anyone in temporary accommodation.

There’s no dilution of line speed, with companies like BeFibre, brsk and Hey Broadband offering full fibre services without long-term commitments – or even setup costs in some cases.

Cons

Costs are inevitably higher, because the ISP can’t bank on regular income.

There can also be issues returning supplied equipment, and there’s plenty of paperwork required in setting up and cancelling a contract several times a year.

2. One-year contracts

Pros

One-year contracts tend to be more widely available than rolling 30-days ones, and they bring monthly costs down by spreading them over a longer time frame.

They’re ideal for students moving into shared occupation, where it’s hard to plan beyond the current academic year. They also suit tenants with fixed rental periods of similar length.

Cons

One-year contracts aren’t always popular among ISPs and some of the big companies simply don’t offer them, which restricts your choice of provider.

Once the one-year fixed term ends, you’ll move onto a higher no-contract price, which requires annual diligence to keep switching to a new cost-effective deal.

3. 18-month contracts

Pros

If you’re willing to sign up for 18 months, you’ll be able to consider rapid full fibre services from companies with their own cable networks, like Virgin Media and Gigaclear.

This is often optimal in terms of balancing cost and flexibility, without a full two-year commitment but bringing lower monthly costs than a 12-month term.

Cons

It’s notable that some of the biggest ISPs have stopped offering contracts of this length, so you’ll still be restricted to a smaller pool of broadband providers.

An 18-month contract ties you into a long-term commitment, yet prices aren’t significantly cheaper than two-year packages.

4. Two-year contracts

Pros

As ISPs seek to lock customers in for longer, two-year contracts have become the most common package offered by ISPs, giving you the greatest variety of options.

The likes of NOW, Vodafone, Plusnet and Sky advertise two-year deals on our site, giving you a wide choice of Openreach-powered or proprietary full fibre services.

Cons

Two years is a long time to commit to anything. Are you confident you won’t be moving house, in a new relationship or facing different financial circumstances by summer 2027?

A two-year contract limits flexibility, and it means you may not be able to take advantage of future price cuts, emerging technologies or new providers in your locality.