Broadband prices still dropping

The price of broadband is the only household bill getting smaller, according to a broadband comparison site - and the trend seems set to continue.

Top 10 Broadband has found that the price of high-speed internet has bucked the trend of other bills during the 'credit crunch'.

It says strong competition is keeping costs low, with internet service providers having to constantly cut costs and raise speeds.

"Broadband bills have plummeted by over 60 per cent in the past 18 months while gas and electricity have risen by 15 per cent and are set to rise further by the end of the year," said Top 10 Broadband's Jessica McArdle.

An 18-month contract signed in January 2007 would on average have cost £13.73 a month, compared with just £3.25 now.

The rise of mobile broadband was also a factor, as not requiring BT line rental at home cuts costs.

Meanwhile Orange has been told off by the Advertising Standards Authority (ASA) over its advert comparing its Home Max broadband service with BT's service.

The advert claimed £190 could be saved by switching to Orange from BT, but the ASA decided that BT's service had extra features and so was not a comparable service.