The UK's biggest telecoms providers have signed up to a new Telecoms Consumer Charter, agreeing to stop unexpected increases in bills.
Industry trade associations, Internet Service Providers Association (ISPA) and the Independent Networks Cooperative Association (INCA), are also supporting the Charter.
On Wednesday, the Chancellor and the Technology Secretary hosted a roundtable with the UK’s biggest telecoms providers, including BT, Virgin Media O2, VodafoneThree, Sky and TalkTalk.
Under the commitments agreed in the charter, customers will know exactly what they’ll be paying when they sign up for a new mobile or broadband deal, with no unexpected price rises midway through a contract.
Customers will also be given given clear information on any future price changes up front, so the price they sign up to is the price they can expect to pay.
Under the charter, it will be easier for eligible customers to access social tariffs. Social tariffs are cheaper and are on offer for those on some government benefits. However, nearly seven in ten broadband customers have not heard of them.
Technology secretary Liz Kendall said: "Broadband and mobile customers deserve to be treated fairly and not face sudden jumps in their bills.
"Following action by this government, telecom companies have now agreed to end unexpected mid‑contract price rises and making social tariffs easier to access.
"These changes will make a real difference to millions of consumers across the country and help with the cost-of-living pressures."
Steve Leighton, chair of the Internet Service Providers Association, said: "ISPA is proud to be supporting the Telecoms Consumer Charter which builds on the range of pro-consumer regulatory reforms that our members are already putting in place. Providers are continuing to implement these in addition to providing support for those struggling with affordability through initiatives such as social tariffs, device donations and digital upskilling. Meanwhile, it’s easier to switch now than ever before.
"With this in mind, we believe now should be the best time to be a telecoms customer, with lower prices, and greater competition. But, this can only be achieved through a stable policy and regulatory environment, spearheaded by a government which places connectivity at the heart of its ambitions on productivity and growth. This is all whilst broadband providers, including our members, have invested over £50 billion to support the government’s target of nationwide gigabit coverage by 2032.
"We look forward to continuing to work with the government to ensure broadband continues to be seen as a national priority - ultimately resulting in better outcomes for consumers."