As the cost of living soars, Brits are wasting up to £1.4 billion every year on digital TV deals that they aren’t happy with.
Sky and Virgin customers spend a whopping £3.75 billion a year on digital TV packages, yet three in ten are not happy with their service.
New research from price comparison site uSwitch shows that while the two media giants have been extremely successful in the UK market, boasting 11.5 million customers between them, things might not prove so easy in the future.
"Sky and Virgin will have quite a challenge on their hands convincing customers to part with their hard earned cash whilst expecting them to accept the current levels of customer service on offer,” says uSwitch communications services head Steve Weller.
The findings raise an interesting question: As the credit crunch bites deeper into household budgets, is it time to ditch that costly TV package and free up hundreds of pounds?
The numbers make remarkable reading
Sky’s 8.3 million UK viewers spend on average £374 a year for their service, equating to a staggering total of £3.1 billion.
Virgin’s 3.25 million customers spend less at £200, but this still works out to a hefty £652 million a year. The combined total for the two is £3.75 billion.
With such mind boggling sums being forked over, you’d think digital TV was the greatest thing since sliced bread, but this simply isn’t the case. The uSwitch survey results show that 28% of these customers are not satisfied with their service, while an astonishing 38.5% don’t feel they’re getting value for money.
So in essence, these disgruntled customers are wasting up to £1.4 billion (38.5% of £3.75 billion) at a time when finances are extremely tight.
As the icing on the cake, a recent survey by consumer magazine Which? found that both Virgin and Sky make use of expensive phone help lines, forcing many customers to pay up to 50% more than a standard land line call.
| Overall Satisfaction | Value for Money | Customer Support |
| Sky | 76% | 57% | 59% |
| Virgin Media | 68% | 66% | 59% |
| Average | 72% | 61.5% | 59% |
Freeview a cheaper option
If you’re unhappy with your TV package, why not downgrade to one of the free digital TV options? Freeview offers around 40 channels and charges no monthly fee. Simply purchase a Freeview box for around £20 and you’re good to go.
The main downside with Freeview is that it currently only covers three quarters if the UK, so check your area is covered online before buying a box.
If you can’t get Freeview, or if you want to be able to watch High Definition (HD) TV, then you may want to consider Freesat, which covers an estimated 98% of the UK.
This also charges no monthly fee, but you will have to pay £100 for installation, plus a further £50 for a set top box (or £150 for the HD box).
Are these options as good as Sky/Virgin? No, but they will free up a few hundred pounds to help ease the burden on your budget.
