The cost of broadband varies depending on the package selected. There are three main costs involved: the connection fee, modem charge and monthly subscription
cost.
Connection fee
Broadband providers have to pay BT Wholesale (the wholesale division of British Telecom) for each customer that they setup.
Therefore, when you sign up to a broadband package, the provider has to pay to connect you. The cost is £47 and some providers will pass some or all of this on to you. However, most leading providers will absorb the cost and not charge you aconnection fee.
Modem charge
To connect to broadband you need a broadband modem. The cost of these modems do vary from £25 to £100. Some providers will pass this cost onto you, but most will offer you a modem free of charge.
Monthly subscription
You will have to pay a monthly subscription fee. The cost of this will vary from £9.99 per month to £45 per month and depends on the type of package you select and your geographical location.
Termination or cancellation fees
Most providers will ask you to enter a 12 month agreement. If you want to leave within the inital 12 month period, you may be charged a termination or cancellation fee. Some providers will ask you to pay out the rest of the initial contract period (normally 12 months).
