‘Slap in the face:’ Telstra to extend cell and broadband costs from May | USAEMALL.com

Telstra customers will face higher bills from May 5, with the telco lifting prices across mobile, broadband and prepaid plans just months after posting a $1.2bn profit.

Australia’s biggest telco announced monthly fees on its mobile phone basic and essential plans would increase by $4, while prices would remain the same on its premium plan.

Mobile bundle customers will also pay an additional $4 for 25GB of data with the monthly fee rising to $61.

Data plans and prepaid services will also rise up to $5 a month.

Telstra consumer group executive Brad Whitcomb said the increase would help the telco reinvest in performance, reliability and security of Australia’s biggest mobile network.

“We already have Australia’s largest mobile network, reaching more of the country than any other mobile provider,” he said on a company blog.

“Our price changes help drive ongoing investment in our mobile network infrastructure, enabling innovation and the rollout of new features that expand connectivity options for customers.

“At the same time, we’re introducing new options for customers who need more support with affordability or have more basic mobile needs.

“We’ll contact affected customers directly over the coming weeks to explain what these changes mean for them.”

Last month, Telstra warned consumers would face higher costs under a federal government proposal to increase spectrum licence fees by more than $1bn when they come up for renewal in 2028.

Australian Communications Consumer Action Network chief executive Carol Bennett said the increase was a “slap in the face” for millions of customers, who have already been hit with rises of about 14 per cent over the past year.

She encouraged consumers to shop around and look for cost-effective plans that did not come with a premium price tag.

“Only weeks ago, Telstra made record profits and increased returns to shareholders,” she said.

“Regular customers are now left paying higher prices for services which they increasingly say no longer represents value for money.

“As cost of living bites, Telstra mobile customers should not be asked to shoulder price increases that outpace both inflation and community expectations.”