UK households wake up to £70 missing from bank account due to 'broadband mistake'

Millions of UK households are overpaying for broadband. GoCompare found 9.5 million UK households are overpaying for their broadband packages, equating to an estimated £53 million wasted on unused speeds each month.

This amounts to a shocking £637 million annually with most overpaying by £5 a month - or £60. Most UK households spend between £25 and £29 per month on their broadband, GoCompare found. Older users are the most likely to pay the highest prices for their broadband, as 18 per cent of those aged 40-54 said they spend over £39 per month on their broadband.

Younger Brits are more likely to pay less for their broadband, with 5% of this age group spending under £10 per month, compared to only 1.5% of over 54s. Around a third (34%) pay for broadband of over 150 megabits per second (Mbps), but just a fifth (21%) of internet users really need it.

READ MORE Premier Inn customers furious over change to hotel bars that's 'needless'

Similarly, more than a quarter (27%) pay for speeds of 51 to 100Mbps, but roughly only 12% of internet users actually need speeds in this range. Only 3% of the country settles for speeds of 15Mbps or less, yet this would be enough for 13% of users.

The research shows most internet users (46%) only require speeds of up to 50Mbps, but the right speed for you will depend on a few factors. Basic internet usage is usually 10 to 15Mbps and the comparison website says this is "ideal for small households with one or two people who have basic web browsing needs".

15 to 50Mbps is "ideal for small households that regularly use the internet for HD streaming and working from home," it added. 50 to 100Mbps is great for gaming aficionados, while 100Mbps should be reserved for large homes with multiple users, like a family of four or student accommodation.

Matt Sanders from Go. Compare commented: "Our latest research suggests that a large chunk of the country is spending more than it needs to on broadband, which is a real kick in the teeth when times are so tight. Everyone's broadband needs are different, so it can be difficult to know what speeds you actually need."

He added: "The key factors to keep in mind are the number of people in your household and what you tend to use your broadband for. Certain activities like online gaming and streaming 4K videos need faster speeds to run smoothly, and these speeds will be diluted if multiple devices are using the internet at once.

"So, if you live alone and only use the internet for general browsing like emails and shopping, you should be able to manage on relatively slow speeds. But, if your household is a family of four with multiple devices on the go, you might need to get faster speeds so that everyone can use the internet at once without being slowed down."