Money Matters: Are you overpaying for your phone? Here’s how to cut down the cost

With so many household bills to juggle – and with most increasing – your mobile phone might not feel like a priority to look at but it’s one of the easiest ways to make a saving and have some spare money in your pocket.

In this week’s Money Matters column, Housing Plus Group’s debt and energy manager Dan Bebbington shares how you can make sure you’re getting the best deal.

Money saving expert, Martin Lewis says there are an estimated 14 million people out of contract on their mobile. That means they are continuing to pay the same monthly fee, which includes the cost of a device they now own, leading to an overpayment of hundreds of pounds annually.

This is one of the biggest money traps as once you’re out of contract, you are not automatically moved to a cheaper plan.

You should switch to a SIM-only contract, upgrade to a new phone or leave your current provider if there’s a better deal for you.

If you are unsure whether you are out of contract and potentially paying more than you need to be, Martin Lewis says you can find out for free by texting INFO to 85075. You will get an instant reply showing whether you owe anything to leave your provider.

If your phone still works well, switching to a SIM-only deal can significantly cut down your monthly bill.

In recent years, SIM deals have become much cheaper with some costing just a few pounds a month depending on how much data you need.

It’s worth asking yourself – do I really need unlimited data? Am I mostly on Wi-Fi at home? Paying only for what you actually use is one of the simplest ways to save.

Deals can vary, so it’s worth comparing options rather than going straight to your current provider.

Comparison tools like those from moneysavingexpert.com search thousands of deals across networks and retailers to help you find the best value.

If you’d rather stick with your current provider, use the deals you’ve found as leverage to negotiate a better deal. Don’t be afraid to haggle, try saying: “I’ve spotted a cheaper deal elsewhere – can you match it?”

You might also consider upgrading your phone but it’s worth thinking carefully because newer isn’t always necessary.

Before committing to a new handset, think about whether your current phone still meets your needs.

If it doesn’t, consider refurbished phones, which can be much cheaper, and also compare the price of buying outright vs a contract.

Sometimes the key to saving money is simply looking at what you’re already paying for. A quick review of your phone could be a small change that makes a difference to your monthly budget.

If you’re a Housing Plus Group customer and you’re unsure where to start or feeling overwhelmed by bills, our Money Matters team is here to support you.

9th April 2026