Network operator O2 has changed the small print of its Pay Monthly contracts following new rules from Ofcom – but instead of offering its new subscribers a better or fairer deal, it’s made it worse.

As reported by Engadget, before the new guidance came into effect, O2 said in its terms and conditions that it could increase your monthly subscription every 12 months by no more than inflation. This is still the case for anyone that signed up for a contract before today (January 23).

If you sign up for a new contract or upgrade your handset now or anytime in the future, you will be agreeing to O2′s new terms and conditions instead, which state that your bill will rise in line with inflation.

So while it was possible that your bill would rise by as much as inflation before, O2 has now made it a certainty. “An increase of this kind does not entitle you to end your agreement mid-contract,” the company said. “As set out above, our terms for customers signing up both pre- and post- 23rd January allow us to apply a price increase to reflect RPI.”

Ofcom’s new guidance was supposed to make it easier for subscribers to exit their contract if their carrier decided to increase the subscription price agreed upon at the start date. By being upfront about its price hikes in the beginning, O2 has successfully circumvented the new guidance.

O2 Prices (Via Engadget)

Featured Image Credit – AFP/Getty Images