Executive Summary
Telecommunications prices increased by 0.1% compared to the previous month
In November 2023, telecommunications prices, as measured through the respective grouping of the Consumer Price Index (CPI), increased by 0.1% compared to the previous month following changes in offers of mobile broadband via PC/tablet/pencil /router.
Compared to November 2022, prices increased by 5.3%. This variation in telecommunications prices was 3.7 percentage points higher than the variation reported in CPI (+1.5%).
The average rate of change in telecommunications prices over the last twelve months was 3.5%, 1.4 percentage points below CPI (5.0%).
By type of service, and according to Eurostat, the average rate of change in the price of bundled services over the last twelve months in Portugal was 5.2%, while the change in the price of mobile telephone service was 2.3%.
Average variation over the last twelve months in Portugal was 2.4 percentage points higher than in the EU
In November 2023, the average rate of change over the last twelve months in telecommunications prices in Portugal was higher than that reported for the European Union (+2.4 percentage points). Portugal recorded the 9th highest (19th lowest) variation in prices among EU countries. The country reporting the biggest price increase was Hungary (+9.1%) while the biggest decrease occurred in the Austria (-4.4%). On average, telecommunications prices in the EU increased by 1.2%.
By subgroup, the average rate of change in prices for bundled services over the last twelve months in Portugal was 2.4 percentage points higher than the EU average and 2.9 percentage points higher in the case of mobile telephone services.
Telecommunications prices in Portugal have increased by 14.6% since the end of 2009 while in the EU they have decreased by 8.7%
From a long-term perspective and in cumulative terms, telecommunications prices have increased by 14.6% since the end of 2009, while CPI has increased by 28.5%. Considering the period from 2017 to 2019, the cumulative change in telecommunications prices was higher than the cumulative change in CPI. This is due to “price adjustments” made over the years by the main providers. In 2019, the accumulated variation in telecommunications prices fell below the variation reported in CPI, mainly due to the entry into force of Regulation (EU) 2018/1971 of the European Parliament and of the Council, which imposed a maximum price on international calls and intra-EU SMS messages. In 2021 and 2022, CPI increased at a faster rate than telecommunications prices.
From an international perspective, between the end of 2009 and November 2023, telecommunications prices in the EU decreased by 8.7%. A more detailed comparative analysis shows that telecommunications prices decreased by 27.6% in France, 16.6% in Italy and 6.7% in Spain.
NOWO has the lowest monthly charge for eight offers
The lowest monthly charges are offered by NOWO in eight cases out of a total of 13 services/offers; MEO and Vodafone reported the lowest monthly charges for four and two types of services/offers respectively. NOS had the lowest monthly charge for one service/offer.
In year-on-year terms, there were price increases in 37 services/offers and decreases in 10 services/offers. The following price variations stand out:
- Minimum expenditure for the Fixed Telephone Service increased by 5.3% due to the increase in the price per minute of calls to the fixed network under Vodafone's Fixed Voice Tariff, from 7 cents to 7.38 cents in February 2023.
- The minimum monthly charge for the Mobile Telephone Services offer with mobile phone Internet increased by 4.3% due to discontinuation of a waiver of the first monthly charge under the NOWO tariff, and the end of the Uzo postpaid tariff from MEO with a monthly charge of 7.50 euros with waived first monthly payment in March 2023.
- Minimum monthly charges for triple and quadruple-play offers and for two double-play offers decreased due to an increase in the discount, during the first 6 months, under the NOWO offer from January 2023 onwards.
- The lowest monthly charge for a quintuple-play offer increased by 3.5% in November 2023 despite promotional campaigns associated with "Black Friday". This is due to the increase in the monthly charge for Vodafone's Fibra 4 Light offer in February 2023, and due to the discontinuation of this offer in June 2023.
In relation to November 2022, and by provider, MEO increased the monthly charge for five services/offers. NOS increased the monthly charge for 10 services/offers, while reducing the monthly charge for one service/offer (decrease of the monthly charge in the "Plano poupança fixo" offer for the fixed telephone service). Meanwhile, Vodafone increased the minimum monthly charge for 10 services/offers considered and reduced the monthly charge for three services/offers (decrease in the monthly charge for the Fibra 2 Plus offer and launch of the "Amigo" offer). NOWO reduced the monthly charge for 6 services/offers (increased discount value during the first 6 months of the NOWO offer) and increased the monthly charge for two services/offers.
