Telstra’s cheap NBN plans are getting more expensive

Telstra is increasing prices on NBN 25 and NBN 50 plans from November 1, for both new and existing customers. Both will go up by $5 per month, taking the NBN 25 plan to $85 per month and the NBN 50 plan to $100 per month.

This easily makes them the most expensive NBN plans in their respective speed tiers. NBN 25 plans tend to cost around $60 per month when you take out introductory offers, while NBN 50 plans sit at around $75 per month.

A Telstra spokesperson told WhistleOut that prices are changing due to upcoming changes in NBN Co's wholesale pricing, as well as Telstra's own increased business costs.

"We believe now is the right time for us to look at our plans and make some changes which respond to this and improve the economics of our fixed business," said the spokesperson.

"Rebalancing our pricing in this way helps us to continue to invest in the things that matter - like local Telstra call centre support and 24/7 network monitoring to help protect against scams and other malicious activity."

Telstra is however reducing the price of its NBN 250 plan and its voice-only plan (which is effectively an NBN-powered home phone). Both will decrease my $5 per month. Its NBN 250 plan will cost $135 per month from November 1, while its voice plan will drop to $50 per month.

Telstra's spokesperson also said the telco will continue to maintain its $10 per month concession discount on its voice-only plan and $65 starter internet plan. The $65 starter plan has 50GB of data and is configured on the NBN 12 tier. The spokesperson also suggested Telstra's budget brand Belong as an alternative.

"Belong also offers great value for customers with a $65 plan which includes unlimited data," said the spokesperson.

Belong recently increased the price of its NBN 50 plan. It now costs $80 per month, up from $75. There is however a $10 per month discount for the first six months. 

Optus also upped its NBN 25 and NBN 50 plan prices last month, and due to NBN Co's upcoming wholesale pricing changes, it's likely many providers will follow. The pricing changes are predominantly set to impact NBN 50 plans in the short term. NBN 50 is however the most popular speed tier, representing 44.2% of the market.

Here's a look at the current state of NBN 50 prices: