In addition, the planned VAT increase, which takes effect from 1 January 2024, will not be applied to the above products and offers, and will therefore not be passed on to residential customers. Through this action, Swisscom is providing price certainty and playing its part in preventing a further rise in inflation in Switzerland.
We did give the matter close consideration because we are also feeling the effects of inflation. However, we want to do our bit and offer our residential customers price certainty. We have been managing our cost base for many years and have reduced our annual costs by over CHF 100 million in recent years. Thanks to these efforts, we are now able to bear the additional costs ourselves. No general price increases are planned between now and 1 January 2025, either as a result of inflation or due to the rise in VAT. This applies to the current blue Mobile products (prepaid and postpaid), Internet, TV and fixed network subscriptions and to all second and third-party brands and customers with basic service products.
We will not implement any inflation-related price increases before 1 January 2025. Beyond that, forecasts are difficult.
No, the price of older subscriptions will not increase during this period either. However, we are not ruling out the possibility of withdrawing older tariffs from the market during this period which have not been actively sold for some time.