Your phone's paid off. Is your bill?
Why are you still paying £30 a month for your phone?
If your contract has ended, part of that monthly bill could still be paying for a phone you already own. Here's how to check, what Ofcom's rules say, and how to switch in a day without losing your number.
By The SimSift team · Published · Updated
Short answer: because a big chunk of a typical phone contract is paying off the phone. Apple's own price for the iPhone 17 works out at £29.96 a month over 30 months, with no airtime included. Once your phone is paid off (or if you keep the one you have), a SIM-only plan costs far less: today, 30GB SIM-only from Mozillion is £7 a month and EE's own 25GB SIM-only plan is £12 (both 24-month plans). Text INFO to 85075 to check your contract, then PAC to 65075 to switch and keep your number. Ofcom's rules say the switch should be done within one working day.
1. The phone is hiding in your bill
A classic phone contract rolls two things into one monthly price: the airtime (your minutes, texts and data) and the phone itself. Ofcom describes these bundled contracts as ones where "customers pay a single price for their handset and airtime combined, and the price generally stays the same at the end of the contract despite the customer having typically paid for the handset" (Ofcom: Helping customers get better deals, 2021 review (PDF)).
Apple sells the iPhone 17 from £899, or £29.96 a month over 30 months on its own UK store, and that's for the phone alone, before a single minute or megabyte (Apple (UK): buy iPhone 17). So if you're paying £30 or more a month on a contract that came with a new phone, a large share of it is likely to be the handset. Phone payments can run longer than the airtime too: Ofcom limits airtime contracts to 24 months, but the phone part can be spread over longer, and it must unlink from the airtime by month 24 (Ofcom: consumers and phone contracts, May 2025 (PDF)).
2. The loyalty penalty: paying for a phone you already own
The trouble starts when the phone is paid off and nothing changes. In its 2019 review, Ofcom found around 1.4 million out-of-contract customers on bundled deals were paying, on average, just under £11 a month more than a comparable SIM-only deal: about £182 million a year in total. By 2020 that had fallen to about 1 million people, helped by new rules and by providers cutting prices (Ofcom: Helping customers get better deals, 2021 review (PDF)).
Here's what the rules say now:
- End-of-contract alerts. Your provider must tell you, by text, email or letter, between 10 and 40 days before your contract ends: the end date, what you pay now and what you'll pay afterwards, any notice period and its best deals, including prices for new customers (Ofcom: are you in or out of contract?). If you're on a bundled phone contract, that message must include at least one SIM-only deal (Ofcom statement: end-of-contract notifications and annual best tariff information (PDF)).
- Yearly reminders. If you stay out of contract, your provider must remind you every year and update you on its best deals (Ofcom: are you in or out of contract?).
- Price rises in pounds and pence. Since January 2025, new contracts can't have price rises linked to inflation or set out as percentages. Any planned rises must be shown in pounds and pence before you sign (Ofcom: telecoms price rises, what are your rights?). See which networks are raising prices in April 2027.
An alert only helps if you act on it. Even a few pounds a month adds up over a year.
3. Switching is one free text
Plenty of us stay put because switching sounds like a faff. It isn't. You don't even need to speak to your current provider (Ofcom: switching mobile phone provider):
- Text INFO to 85075 to check if you're in or out of contract, and whether there's an early termination charge.
- Text PAC to 65075 to switch and keep your number, or STAC to 75075 to leave without keeping it.
- Your provider must reply with the code within one minute, and it's valid for 30 days.
- Your new provider must complete the switch within one working day, and your old provider can't charge you for a notice period after the switch date.
If you have more than one number on your account (a family plan, say), Ofcom says you'll need to request the code by phone or on your provider's website instead.
4. Bundled extras: do you actually use them?
Many plans come with streaming, music or cloud storage built in. That can be good value, but only if you'd pay for it anyway. For example, EE's Full Works SIM for iPhone is £43 a month with unlimited data and Inclusive Extras such as Apple One (EE values Apple One at £18.95 a month). EE's No Frills unlimited SIM is £27 (EE: SIM-only deals). The plans differ in other ways too, but if you'd never open the extras, that's money you could keep.
A quick test: open your phone's subscriptions list and your plan's extras side by side. If you're paying twice for the same service, or for one you never open, drop it.
5. Same masts, smaller bill
Only a handful of UK networks run their own masts, but many more brands sell SIMs. Lots of cheaper SIM-only providers (often called MVNOs) rent space on one of those big networks, so your phone uses the same masts. Check a provider's coverage checker with your postcode before you switch. One option is SIM-only from Mozillion. Mozillion says its plans run on EE's network (source: Mozillion affiliate brief, 30 Oct 2026; we haven't checked this independently). Its plans include unlimited UK minutes and texts from 3GB upwards, with 30GB at £7 a month on a 24-month plan or £7.90 on a 1-month rolling plan, and it says it has no mid-contract price rises (Mozillion: pay monthly SIM plansAd).
SIM-only from Mozillion
10GB £5 · 30GB £7 · 100GB £11 · Unlimited £22 a month on 24-month plans. No credit check, according to Mozillion. Prices can change, so check today's on Mozillion's site.
See Mozillion's SIM plansAdIt's not the only option. Our SIM-only comparison lists checked prices from several providers every day, along with the network each one uses.
6. The honest bit: cheap headline prices mean small data
The lowest prices you'll see advertised are for small allowances. Mozillion's cheapest plan is £2.50 a month, but that's for 1GB and 500 minutes and texts; 3GB is £3.50. EE's cheapest 24-month SIM here is £10 for 5GB. That's fine if you're mostly on Wi-Fi, but not if you stream on the train. So compare like for like on data. Here are two providers side by side, for plans bought today:
| Data each month | Mozillion | EE |
|---|---|---|
| About 25–30GB | £7 (30GB) | £12 (25GB; then £14.50 from April 2027, £17 from April 2028) |
| 100GB | £11 | £17 (flash sale ends 5 November; then £19.50 from April 2027, £22 from April 2028) |
| Unlimited | £22 | £27 (No Frills; then £29.50 from April 2027, £32 from April 2028) |
| About 25–30GB, 1-month rolling | £7.90 (30GB) | £20 (25GB) |
Prices read on each provider's own website: Mozillion 3 November 2026 at 08:57 GMT · EE 3 November 2026 at 08:57 GMT · Apple 3 November 2026 at 08:57 GMT. The price on the provider's site is the one you pay. Links marked Ad are affiliate links: SimSift may earn commission, at no extra cost to you. How we make money.
The cheaper plan isn't always better for everyone: EE's own plans come with its own customer service, shops and extras. But if you only need minutes, texts and data, it pays to compare.
How to switch seamlessly
- Check you're out of contract. Text INFO to 85075. If you're still in contract, the reply will show any early termination charge, so you can work out whether to wait.
- Check how much data you really use. Look at the last few months in your provider's app or bill, or in your phone's settings (Mobile Data on iPhone, Data usage on Android). Pick a plan with a little headroom, not a lot.
- Keep your phone, or buy refurbished. If your phone still works, keep it and go SIM-only. Providers can't sell locked phones any more, so it should work on any network (Ofcom: mobile companies banned from selling locked handsets). If you need a new one, buy refurbished: tested, guaranteed and usually far cheaper than new. Why buy new when it works? (Here's why it's better for the planet too.)
- Get your PAC. Text PAC to 65075. You'll get it within a minute, and it lasts 30 days.
- Sign up and hand it over. Give the PAC to your new provider when you order, or soon after. Ofcom says the switch should be completed within one working day, and any loss of service shouldn't last longer than that. If it does, you may be due compensation (Ofcom: switching mobile phone provider). Pop the new SIM in (or download the eSIM) when it's ready.
- Deal with any phone balance. If your phone is on a separate device plan, check what you owe before you switch. O2, for example, says that if you end your airtime in the first 24 months of the device plan you'll need to pay the device plan off in full; after 24 months the two unlink and you can keep paying the instalments (O2: leaving O2, what you need to know). If you're on a single bundled contract, early termination charges can apply until the minimum term ends, so the INFO text is your friend.
Your options
SIM-only on the same network
Stay with your network, keep your phone and move to its SIM-only deal. Least hassle, no number change.
A cheaper network
Move to a smaller provider that rents space on one of the big networks. Usually the biggest saving.
Refurbished phone plus SIM-only
Need a new phone? Buy a refurbished one outright and pair it with SIM-only, so your bill never pays off a handset.
Add a travel eSIM
Pick a cheaper home plan and add a travel eSIM for trips outside its roaming zone, rather than paying for roaming you rarely use.
Sources
- Ofcom: switching mobile phone provider
- Ofcom: are you in or out of contract?
- Ofcom: telecoms price rises, what are your rights?
- Ofcom statement: end-of-contract notifications and annual best tariff information (PDF)
- Ofcom: Helping customers get better deals, 2021 review (PDF)
- Ofcom: consumers and phone contracts, May 2025 (PDF)
- Ofcom: mobile companies banned from selling locked handsets
- O2: leaving O2, what you need to know
- Mozillion: pay monthly SIM plansAd
- Mozillion affiliate brief, 30 Oct 2026 (merchant-supplied copy sent to affiliates; not public): host network
- Mozillion coverage checker (embeds EE's coverage map)Ad
- EE: SIM-only deals
- Apple (UK): buy iPhone 17
Questions
How do I know if my phone contract has ended?
Text INFO to 85075 from your mobile. It's free, and your provider will reply with whether you're in contract, your end date and any early termination charge. Your provider must also message you 10 to 40 days before your contract ends.
Does my bill go down when my phone is paid off?
Not always. On a single bundled contract, Ofcom found the price generally stayed the same after the minimum term, even though the phone had typically been paid for. Some providers now cut the price for out-of-contract bundle customers, but the surest way to stop overpaying is to check your status and move to SIM-only.
Will I lose my number if I switch?
No. Text PAC to 65075 and your current provider must reply within a minute with a code that's valid for 30 days. Give it to your new provider and they move your number across. Ofcom's rules say the switch must be completed within one working day.
What's the difference between a PAC and a STAC?
A PAC (text PAC to 65075) moves your number to your new provider. A STAC (text STAC to 75075) ends your service without keeping the number. Either way, your old provider can't charge you for a notice period after the switch date.
Is a cheaper SIM-only network worse for signal?
Not necessarily. Many smaller providers rent space on one of the big networks, so you get the same masts. Check any provider's coverage checker with your postcode before you switch. Speeds, extras and customer service can still differ, so compare the details.
Can I switch if I still owe money on my phone?
Yes, but check first. If your phone is on a separate device plan, the rules depend on your provider. O2, for example, says that if you end your airtime in the first 24 months you must pay off the device plan in full; after 24 months the two unlink and you can keep paying the instalments. On a single bundled contract, early termination charges may apply until the minimum term ends.