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Unsuitable Mobile Tariffs Cost Phone Owners £5 Billion Per Year

A research - conducted by Carphone Warehouse, across some 2,000 mobile owners - shows that half of mobile users didn't have a clue what the allowances of their contract were. A staggering 47 per cent didn't know how many minutes, texts and data their tariff allowed them.

By Carphone Warehouse's calculations, mobile owners could save an average of £194 per year if they switched to a more suitable plan for their actual usage.

That's a total of £5 billion which the UK is wasting on inappropriate mobile contracts every year, whether users are paying for too much allowance, or in some cases not enough.

For example, £170 million of that wastage is incurred by those who go over their data allowance for the month, being billed with penalty charges.

Many customes proved particularly clueless in terms of mobile surfing, not having any idea what a megabyte represented in terms of everyday browsing usage or sending emails.

Andrew Harrison, Carphone Warehouse chief executive, commented: "When the UK is facing one of the hardest financial times in living memory, it seems crazy that £5 billion is being wasted on phone bills."

"The cost of data charges is a growing issue and this is only going to increase as more people convert to smartphones."

Darren Allan

Darran has over 25 years of experience in digital and magazine publishing as a writer and editor. He's also an author, having co-written a novel published by Little, Brown (Hachette UK). He currently writes news, features and buying guides for TechRadar, and occasionally other Future websites such as T3 or Creative Bloq and he's a copy editor for TechRadar Pro. Darrran has written for a large number of tech and gaming websites/magazines in the past, including Web User and ComputerActive. He has also worked at IDG Media, having been the Editor of PC Games Solutions and the Deputy Editor of PC Home.