A new study has revealed that the UK’s broadband users could be missing out on up to £1.2 billion worth of savings, simply because they aren’t switching providers regularly enough. It found that users can save an average of £58 on their annual broadband bill by switching to the cheapest deal available for the same speeds when their contract runs out.

Despite this, over three-quarters (77%) of broadband users don’t switch as often as needed to maximise savings, equal to 21 million households across the country. As a result, the nation is missing out on a fortune of broadband savings.

The research comes from Go.Compare broadband. It estimated how many households could switch providers more often by applying its latest survey figures to ONS data. It then calculated the average maximum saving if they switched to a cheaper package offering the same speeds, based on its internal sales data.

The comparison site says that the optimum time to switch is at the end of a broadband contract, which will be around once every one or two years for most users. Based on this, it recommends that Brits start to compare deals around 30 days before their current contract ends.

But, only around a fifth (23%) of users routinely change their provider every year or when their contract ends, and almost a third (32%) admitted that they’ve never changed providers.Older users are especially unlikely to perform this routine switch, with just 18% of over-54s saying they do so, compared to just over a quarter (26%) of under-35s.

Surprisingly, lower-income households were found to be less likely to switch providers, despite the potential savings on offer. Two in five (40%) of those on a lower income stated that they’ve never switched providers, compared to a quarter of higher-income homes. This means that those struggling the most might be missing an opportunity to cut costs.

Matt Sanders, broadband expert at Go.Compare, said: “Things like introductory rates and mid-contract price rises are commonplace in broadband deals, so you’re more likely to see costs creeping up if you stick with the same provider for a long time. This means you can usually find a cheaper deal by comparing packages when your contract is up, without having to settle for slower speeds.

“The best time to compare deals is around a month before your contract ends, as this means you’ll avoid paying any early exit fees. Changing providers is much more straightforward these days, too, as Ofcom launched its ‘One Touch Switch’ process last September. When you buy a deal from a new provider, they’ll tell your current provider that you’re leaving, so there’s no need to be put off by the thought of switching being a hassle.”

More statistics about switching broadband providers can be found on Go.Compare’s website.