Find out how to cancel your mobile phone contract, including how much notice you need to give and any exit fees that might apply.

In the UK, there are three ways to cancel your mobile phone contract. The best way to cancel depends on whether you’re moving to another network and whether you’d like to keep your current phone number when you move.

In some cases, you’ll need to pay an “early termination charge” or “early exit fee” when you cancel your contract. This will apply when you cancel during the minimum term of your contract (i.e. the first 12 months or 24 months). In addition, a notice period of around 30 days may also apply if you’re following the standard cancellation process.

In this article, we’ll show you how to cancel your mobile phone contract. For each mobile network, we’ll discuss the exit fees and notice periods that apply when you cancel your contract. We’ll also discuss the discounts available, along with alternative solutions that might allow you to bypass the extra charges.

How To Cancel Your Contract

Broadly speaking, there are three ways to cancel your mobile phone contract in the UK:

  • The PAC Code Cancellation process should be used when you’re moving to another mobile network and want to keep your current phone number.
  • The STAC Code Cancellation process should be used when you’re moving to another mobile network, but starting afresh with a new phone number.
  • The standard cancellation process applies if you’re not moving to another network.

Our network-by-network guides will take you through the process of how to cancel your contract on each mobile network. Please select the mobile network on which you’d like to cancel your contract:

In the rest of this article, we’ll discuss early cancellation fees in more detail. We’ll also present a couple of alternatives to cancelling your contract early, which can save you money compared to paying the early termination fee.

Overview of Early Exit Fees

The following table shows a list of UK mobile networks and the early exit fees that apply if you’re cancelling within the minimum term of your contract. We’ve also shown the notice period that applies for a standard cancellation:

Mobile Network Early Termination Fee Notice Period*
BT Mobile 99% of remaining monthly charges 30 days
EE 96% of remaining monthly charges 30 days
iD Mobile Remaining monthly charges (less avoided costs) 30 days
O2 Full balance remaining on Device Plan (O2 Refresh)
96% of remaining monthly charges (non-Refresh)		 30 days
Sky Mobile Plan dependent (£2.49 to £31.40 per remaining month) 31 days
Tesco Mobile 97% of remaining monthly charges 30 days
Three 97% of remaining monthly charges 30 days
Virgin Mobile 64% of remaining monthly charges 30 days
Vodafone 98% of remaining monthly charges 30 days

* Notice periods only apply for the standard cancellation process. They do not apply if you use the PAC Code or STAC Code cancellation process.

You can find out the exact cancellation fee that applies on your plan by texting INFO to 85075. Alternatively, read on for more information about how the early exit fee is calculated on each network.

Early Termination Fees: By Network

The exact fee you’ll pay for ending your contract early will depend on the amount of time remaining on your contract. It also varies on a network-by-network basis, depending on the discounts they’re able to offer.

BT Mobile

On BT Mobile, you’ll need to pay an early termination fee if you’re ending your contract early during the minimum initial contract period. This is described in clauses 14 to 18 of the BT Mobile consumer terms and conditions.

According to BT, the early termination fee is calculated as follows:

The following steps are used to calculate the ETC:

  • We take the remaining amount you were due to pay up to the end of the minimum commitment period
  • We take off VAT
  • We take off the costs we save (e.g. in payments to suppliers) as a result of you leaving early
  • We give a 1% discount for early receipt of your payment
  • We add VAT to the final ETC

In their worked example, there are ‘negligible saved costs’ when you cancel a BT Mobile plan. For this reason, you should only expect to receive the 1% discount on remaining fees due.

If you purchased a mobile phone on contract from BT Mobile, it will have been loaned to you for the first six months of your plan. You’ll therefore need to return your phone if you cancel your contract within the first six months.

Source: BT Mobile Consumer Terms & Conditions (June 2022)
Tariff Information: BT Mobile Website

EE

On EE, you’ll need to pay a Remaining Contract Charge (early termination charge) when you end your contract during the minimum initial term. This is set at 96% of the remaining charges over your minimum initial term.

The following calculation is given as an example on the EE website:

You have a monthly recurring plan at £30 a month, with three months left. We multiply £30 by three, totalling £90. We then take VAT off that figure leaving £75. Then we take 4% off that figure and add VAT to get the final Remaining Contract Charge of £86.40

If you’re cancelling your EE contract outside of the minimum initial term, a 30 day notice period will apply for standard cancellations. You’ll be charged the full monthly fee for this 30 day period (EE calls this a “Notice Period Charge”).

You can cancel your EE contract by calling 150 or submitting your request online.

Source: EE Help: How do I cancel my Pay Monthly plan?
Tariff Information: EE Website

giffgaff

On giffgaff, there are no early termination fees as you’re not tied in to a contract. You can simply change your goodybag or cancel the automatic renewal at any time. Any credit that you’ve already added to your account is non-refundable so you should try to use it up before you leave for another network.

If you’ve purchased a handset from the giffgaff phone store, you can continue paying for this on a separate agreement even when you stop using your giffgaff SIM card. This is because the handset repayment plan is provided on a separate agreement through Klarna.

Source: giffgaff Website
Tariff Information: giffgaff Website

iD Mobile

If you’d like to cancel your iD Mobile plan during the minimum term of your contract, you’ll need to pay an early cancellation fee. This is stated in clause 8.1 of the iD Mobile terms and conditions:

8.1.1… [This Agreement may be terminated] by giving us at least 30 days’ notice in accordance with Clause 17 below. If you do so, you must immediately pay us the Charges including any monthly (or other periodic) line rental charges for any remaining Minimum Period (less any reduction we make for our avoided costs) then outstanding as well as any Charges that apply during the notice period

An estimate of your early cancellation fee is available in the iD Mobile account area.

Source: iD Mobile Returns & Cancellations
Tariff Information: iD Mobile Website

O2

If you’re a customer on O2 Refresh, you can leave at any time by paying off the remaining balance on your device plan. There are no early termination fees applying to the airtime element of your plan.

If you’re on a standard contract (including O2’s SIM-only plans and any handset plans that are taken through a third-party retailer), you’ll need to pay an early termination charge. This is 96% of the remaining monthly payments over your minimum initial term.

The following example calculation is given on the O2 website:

You’re on a 12-month contract costing £21 a month (incl. VAT) and decide to disconnect after six months. This means you’ll pay an early termination charge covering the last six months of your contract.

Your early termination charge is calculated as 6 x £21, which gives an early termination charge of £126.

We then take off 4% of that figure – making the final early termination charge £120.96.

Source: O2 Help & Support: Leaving O2
Tariff Information: O2 Website

Plusnet Mobile

If you’re a Plusnet Mobile customer, you’ll need to pay an early termination charge if you cancel within the minimum term of your contract. This is 96% of the remaining monthly payments on your plan, also taking any upcoming price increases into account:

The early termination charge will be calculated as follows: –

  • monthly charge* (factoring in any monthly discount to which the customer is entitled);
  • deduct VAT at the applicable rate;
  • deduct 4% for early receipt of payment;
  • multiply this figure by the remaining months of the minimum term;
  • add VAT at the applicable rate to the final amount.

A percentage price increase will be applied to your monthly mobile plan price. This price increase will be applied on or after 1st March every year and will be equal to a percentage comprising of i) the Consumer Price Index (CPI) rate figure published by the Office for National Statistics in January of that year plus ii) 3.9%.

This means, your early termination charge will also be subject to these increases.

Source: Plusnet Mobile price guide
Tariff Information: Plusnet Mobile website

Sky Mobile

On Sky Mobile, you’ll need to pay an early termination charge if you cancel your mobile contract early before the end of the minimum term. This is calculated based on the number of months remaining in your minimum contract term. You’ll get a discount on your remaining monthly payments (typically around 25-50% off the original monthly amount).

As of October 2022, the early termination fees on Sky Mobile are as follows:

Data Plan Normal Monthly Fee Early Termination Fee
100MB £5 per month £2.49 per remaining month
500MB £5 per month £2.55 per remaining month
£6 per month £3.28 per remaining month
1GB £5 per month £2.55 per remaining month
£6 per month £3.31 per remaining month
£7 per month £4.13 per remaining month
£10 per month £6.68 per remaining month
2GB £6 per month £3.31 per remaining month
£7 per month £4.13 per remaining month
£10 per month £6.68 per remaining month
£12 per month £8.23 per remaining month
3GB £6 per month £3.31 per remaining month
£7 per month £4.13 per remaining month
£8 per month £4.92 per remaining month
£12 per month £8.14 per remaining month
4GB £12 per month £8.27 per remaining month
5GB £10 per month £6.61 per remaining month
£15 per month £10.82 per remaining month
6GB £8 per month £4.96 per remaining month
£9 per month £5.78 per remaining month
£12 per month £8.27 per remaining month
7GB £9 per month £5.80 per remaining month
8GB £10 per month £6.61 per remaining month
£15 per month £10.75 per remaining month
9GB £12 per month £8.14 per remaining month
10GB £10 per month £6.61 per remaining month
£12 per month £8.14 per remaining month
£15 per month £10.75 per remaining month
£20 per month £14.95 per remaining month
12GB £11 per month £7.38 per remaining month
£12 per month £8.27 per remaining month
£15 per month £10.75 per remaining month
15GB £15 per month £10.75 per remaining month
£18 per month £13.23 per remaining month
£20 per month £14.88 per remaining month
20GB £12 per month £8.14 per remaining month
£20 per month £14.88 per remaining month
£25 per month £19.01 per remaining month
25GB £15 per month £10.75 per remaining month
£25 per month £19.01 per remaining month
£30 per month £23.14 per remaining month
30GB £15 per month £10.75 per remaining month
£20 per month £14.81 per remaining month
£25 per month £19.01 per remaining month
£30 per month £23.14 per remaining month
40GB £24 per month £18.25 per remaining month
£30 per month £23.14 per remaining month
£40 per month £31.40 per remaining month
50GB £25 per month £19.08 per remaining month
£40 per month £31.40 per remaining month
60GB £30 per month £23.14 per remaining month
Unlimited Calls and Texts Saver £8.26 per remaining month
International Calls and Texts Saver £2.50 per remaining month

You can reduce your early termination charge by switching to a different plan and removing any optional extras before you cancel. For instance, you can downgrade to a cheaper plan before requesting cancellation. For more information, see Sky’s webpage on changing your Mix.

Source: Sky: Charges for ending your Sky contract early (October 2022)
Tariff Information: Sky Mobile website

Tesco Mobile

If you’re cancelling your contract early on Tesco Mobile, you’ll need to pay an Early Termination Charge.

According to the Tesco Mobile terms and conditions, this “will never be more than your monthly subscription price multiplied by the number of months remaining on your contract”. There’s a discount of “approximately 3% for any benefit [Tesco Mobile] might
receive from no longer providing you service on [their] Network“.

Source: Tesco Mobile Pay Monthly terms and conditions (16th June 2022)
Tariff Information: Tesco Mobile website

Three

On Three, you’ll pay a early termination fee equal to the remaining monthly charges for the minimum term of your contract, less a variable discount which is currently 3%. This is detailed on page 25 of Three’s Pay Monthly price guide:

Cancellation Fee
Lump sum equivalent to the total of the Monthly Charges remaining during the Minimum Term of your agreement less a variable discount, currently 3%. We reserve the right to vary the amount of the percentage discount from time to time.

The following example calculation is given by Three on their website:

Cancellation fee calculation example
Monthly Charge £25
Total of Monthly Charges remaining during the Minimum Term £25 x 6 months = £150
Less discount of 20% £150 – £4.50 (3% of £150) = £145.50
Cancellation Fee £145.50

Source: Three Pay Monthly Price Guide (August 2022)
Tariff Information: Three Website

Virgin Mobile

On Virgin Mobile, you’ll need to pay an Early Disconnection Fee if you leave your contract during the minimum initial term. This is approximately 64% of your monthly plan cost, multiplied by the number of months you have remaining on your plan.

The following worked example is given on the Virgin Mobile website:

Our current Early Disconnection Fee will be approximately 64% (includes VAT) of your monthly plan cost multiplied by the number of months you have left on your contract, after your 30 days’ notice period (if you need to provide notice applies).

This is calculated as follows:

Early Disconnection Fee = (Monthly Charge – Monthly Discount) * Remaining Months * 64%

Example

A customer has a 24 month Pay Monthly contract costing them £20 per month, with a monthly discount of £5. They are in the 18th month of their contract and have 6 months left until their minimum term ends.

This customer requests to disconnect, they will pay their normal monthly charge of £15 for their 30 day notice period, plus the following Early Disconnection Fee:

= (£20 – £5) * 5 * 64%
= £48.00

The % multiplier used to calculate the Early Disconnection Fee is reviewed by Virgin Mobile on a quarter-by-quarter basis. For this reason, it may change slightly from time-to-time.

Source: Virgin Mobile Early Disconnection Fees
Tariff Information: Virgin Mobile

Vodafone

On Vodafone, you’ll need to pay an early termination fee that is 98% of the remaining payments over the minimum term of your contract. This is based on Vodafone giving you a 2% discount.

This formula for calculating the early termination fee is detailed within the Vodafone terms and conditions:

Early termination fee

If you cancel a contract for your plan before your agreement ends, you’ll need to pay an early termination fee. The fee is based on your monthly plan charge and the remaining time left on your contact, and can be calculated as follows:
…
For disconnections completed on or after 24th February 2021:

Monthly line rental charge (inc. VAT) × remaining contract (months) × 98%

The following worked example is given on the Vodafone website:

Your plan costs £45 a month, and you receive a £10 monthly discount. This means you pay £35 a month in total.

You have 6 months left until your plan ends, and you want to leave.

  • To work out your outstanding charges for these remaining 6 months, we multiply what you pay each month (£35) by 6 = £210
  • Then we take 2% from that £210 to get your final ETF = £205.80

If you have a Vodafone EVO plan, you can simply pay off the remainder of your device plan at any time:

Customers who have settled a Device Plan in full and early, and subsequently terminate the associated airtime or connectivity plan, will not be charged any Early Termination Fees based on the associated airtime or connectivity contract.


Source: Vodafone Support: How’s my early termination fee calculated?
Tariff Information: Vodafone Website

Alternatives to Cancelling Early

In general, it’s best to avoid cancelling your mobile contract early. This is because you’re essentially paying off the remainder of your contract but you won’t be getting a service in return for your payment.

There are a number of ways to side-step early termination fees. For instance, you can change your mobile phone without changing your contract. Alternatively, if you’re struggling with poor coverage, there could be ways to improve this without cancelling your contract.

Changing Your Mobile Phone

If you’d like to change your mobile phone, it isn’t always necessary to change your contract as well.

When you upgrade your mobile phone through your network provider, you may need to pay an early termination fee for the remainder of your current contract.

To side-step this, you can buy a SIM-free handset elsewhere (e.g. from retailers like Amazon and the Carphone Warehouse). You can use your new mobile phone with your existing price plan so there’s no need to pay an early termination fee. Once the minimum term of your contract comes to an end, you can switch to a cheap SIM-only deal.

Struggling With Poor Coverage

If you’re struggling with poor mobile coverage at home or at work, it’s always worth talking to your mobile network about this. It might be a temporary issue due to maintenance on your local mast, or there might be some upcoming work scheduled in your area to improve it.

It might be possible to use Wi-Fi Calling or 4G Calling to improve the coverage you get, when you’re using a compatible mobile phone.

Most mobile networks will not allow you to cancel your contract early without paying an early termination fee, solely due to problems with coverage.

Leaving the UK

Unfortunately, very little can be done regarding early termination fees if you’re leaving the UK and moving to another country.

If you’re moving to another European country, it’s possible you’ll be able to use your existing UK plan there.

Meanwhile, if you’re moving to a country outside Europe, it can sometimes still be worth keeping your mobile contract open. This will allow you to use your mobile phone when you come back to the UK. You’ll also be able to keep your current UK-based phone number.

If you’re permanently moving abroad and not returning to the UK, consider asking a friend or family member if they’d like to take over your mobile contract.

Financial Difficulties

Mobile phone contracts are a form of consumer credit, just like a loan from your bank or from your credit card company. If you think you might have difficulties paying your phone bill, there is lots of support available from different organisations. In the first instance, contact your mobile network as quickly as you can. They should offer you some alternative payment options. You can also consult the Citizens Advice Bureau and StepChange Debt for advice.

If you were to cancel your contract without paying a required early termination fee, your details will normally be passed to a Debt Collection Agency. This will affect your credit rating, and the debt will likely be pursued by other means.

Going forward, you may find it helpful to get a free Pay As You Go SIM card as this can give you more control over your mobile phone spend. There will also be no contracts and no early termination fees to worry about.

Notice Period Charges

Notice Period Charges were banned in July 2019 for PAC and STAC Code cancellations.

If you’re cancelling your mobile phone contract through the standard cancellation process, you’ll normally need to give 30 days notice. During the 30 day period, you’ll need to pay your normal monthly fee (this is also known as the Notice Period Charge). The Notice Period Charge will apply even if you’re outside the minimum term of your contract.

If you’re cancelling your mobile phone contract through the PAC Code or STAC Code cancellation process, your mobile network is not permitted to impose a Notice Period Charge. This is due to Ofcom’s mobile switching legislation which banned overlapping contract charges from the 1st July 2019.

Where possible, we’d always recommend using the PAC Code or STAC Code cancellation process. This allows you to avoid paying the Notice Period Charge.

More Information

For more information, please see our step-by-step guides on how to cancel your contract on each network. You can also read more about the PAC Code process and how to change network or handset.

Your Comments 450 so far

We'd love to hear your thoughts and any questions you may have. So far, we've received 450 comments from readers. You can add your own comment here.

  • Colin Brown said:

    Hi,

    When you state:
    There’s no need to give 30 days’ notice to end your contract with a PAC Code. Providing you’re outside the minimum term of your contract, Tesco Mobile can only charge you up until the date when your PAC Code is used.

    I recently left Tesco (outside of the minimum term of my contract) via the PAC code process. I left on the 2nd of the month, my billing cycle was the 23rd – 22nd of the month. Tesco state that as I used some of the last billing period there is nothing to refund me for the period of 2nd – 22nd, as once you dip into a billing period the whole charge is payable.

    Is this correct? I am certain I have received refunds from prior providers, pro rata for the unused days of a billing period.

    • Ken replied:

      Hi Colin,
      Thanks for your comment. Unfortunately, I’m not a lawyer, but my understanding is that a pro-rata refund should also be made.
      Ken

  • Jules said:

    Thank you for this interesting article. my and my daughter’s SIM contract with three were in the final month of our 12 month contract.

    We have both been charged and early termination as we moved to different suppliers and I really can’t understand why as the final month was paid up so as far as we were concerned we didn’t owe them anything.

    It seems like a scam if they charge everyone who’s leaving, a few pounds for not actually completing the switch, on the very next day after the contract expiry.

    Even though it’s not a lot of money I feel the principal is very wrong.

  • Carina Dickinson said:

    Bought a new phone from Vodafone by paying monthly for 12 months. Phone arrived 30 June. Had problems with it turning off every so often. Arranged a repair. They now tell me they can’t repair it so I have to have a ‘like new’ or pay £227.00 to cancel! I’m not wanting to cancel my pay monthly SIM card. I just don’t see why I should pay for a like new phone when I bought a new phone. Any help appreciated. Surely this isn’t legal?

    • Ken replied:

      Hi Carina,
      Thanks for your comment. Your phone should be covered by a 12-month or 24-month manufacturer warranty so I’d recommend making a claim against that if you can. If it isn’t covered (e.g. because it isn’t due to a manufacturing issue), then it’s probable the ‘like new’ option from Vodafone would be your best bet (as they would only need to replace your device with something in a similar condition).
      Hope this helps,
      Ken

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