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Why are upgrades more expensive than taking out a new contract?

Level 1: Joiner
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Im at the end of my contract and I'm looking to upgrade but the monthly cost of an upgraded contract is around 10% more than the same specs (phone, data, minutes etc) when looking to buy a new contract. Why is this? You would think it may be cheaper to upgrade?


Does anyone know if I am able to move my number to another O2 contract instead of upgrading? I really do not want to pay the 10% extra every month. 

Message 1 of 4

Level 56: Guvnor
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Upgrading on the O2 website is not cheap - but upgrading an O2 phone to a newer model and tariff on a 3rd party reseller is cheaper - affordablemobiles or mobile phones direct to name two, @Vicks-.

Only difference, apart from total cost, is you will get a bundled phone and tariff payment for 12, 18 or 24months with a reseller, and not an O2 Refresh Contract (with tariff and phone purchase separated over the length of your contract, up to 36months) as you would get with O2 directly.

Happy hunting, @Vicks-.

Guide: Upgrading Your O2 Phone 


Who ya gonna call? O2 Social Media (Twitter | Facebook | Instagram)


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Level 94: Supreme
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If you upgrade directly with O2 the price is the same, but as you've noticed, 3rd party resellers do vary their prices.

This is because they get more commission from the networks for selling new contracts over upgrades.

If you buy a new contract from a 3rd party on O2 you just need to migrate your number to the new deal to cancel the old one Guide: Migration & porting into O2  

I have no affiliation whatsoever with O2 or any subsidiary companies. Comments posted are entirely of my own opinion. This is not Customer Service so we are unable to help with account specific issues.

Currently using:
OnePlus 6 (O2 & Sfr), Z3 Tablet (Three UK), iPhone 8+ (EE)
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Level 1: Joiner
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I’m the same, my contract is at the end and to upgrade to the phone and tariff I want is £7 more each month than starting a new contract with another provider and I can take my number with me , you would think that they would look after their customers to keep the business, I think I know what I will be doing 

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