Consumer victory as mobile operators could be forced to slash data roaming costs, but using the web on your smartphone abroad could still land you a mammoth bill.

The European Commision (EC) today outlined new proposals to cut the cost of using mobile internet devices when travelling in the EU, by capping the amount operators can charge for data (the cost of being connected to the internet via a 3G network).

If the EC’s proposals are accepted, networks will only be able to charge:

• Max 0.50/MB for data




• Max 0.24 for making a call




• Max 0.10 for receiving a call






• Max 0.10 for sending a text will remain.

Operators will continue to cap data usage at 50 per month unless a different limit is agreed by the user.



These proposals will replace the current regulations which end 30 June 2012.

Speaking at a conference in Brussels, Neelie Kroes, the EC vice president of the Digital Agenda, says: “A mobile should be mobile.

“But many people currently switch off their phones, smart phones and other mobile devices when travelling to another EU country because the current prices for roaming calls, texts and data access are so high.

“Competition is still very weak. Customers still get a raw deal when they cross borders. Operators still enjoy outrageous margins, particularly on data downloads.”

Mobile operators have until June 2012 to dispute the proposals, otherwise the new prices will come into effect by 1 July 2014 and will be in place until at least 1 July 2016, when the EC will review the market again.

Big bills for roaming abroad

But even though prices will be capped, you could still arrive back from your jollies to a huge mobile bill, experts warn.

With over 33 million Brits planning to take their smartphones abroad with them this summer, price comparison website uSwitch.com has advised holidaymakers to take care when turning their mobiles on overseas.

Uploading a photo to Facebook or Twitter will use around 2MB per photo it calculates. Even with the new price caps in force, it will cost you an extra 1 on your bill per picture.

2MB of data is also roughly equivalent to surfing the net for just under two hours, or sending around 200 emails without attachments.

Kroes says she believes the EC’s proposals will open up the mobile data market however, and could mean alternative operators may begin to offer more competitive data bundles.

Beat roaming charges

Until then however, here are some tips to help you cut the cost of data roaming abroad:

• Use free wi-fi: Find free wi-fi hotspots abroad so you can roam for free without using 3G. Sites like Free Hotspot and Hotspot Locations find free hotspots near you.

  
  




• Check add on bundles: As with traditional roaming, providers offer data add-on bundles. While pricey, they can help cut costs if you’re planning to surf the net a lot.

  
  




• Turn off 3G: By turning data roaming off, you should protect yourself from hefty charges, however beware of apps and games that need web access to run – they may turn your 3G back on automatically.

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From tomorrow it will be cheaper to use your mobile abroad, as changes to European roaming rates come into force.

Current European Union (EU) rules already mean consumers abroad can’t be charged more than a set rate to make and receive calls or send and receive texts, but tomorrow’s changes will see the maximum price cut.

The amendment to the regulation, which applies to all countries that are members of the EU, means:

• Calls will cost no more than 0.35 (around 31p) per minute to make. This excludes VAT, down from 0.39.
• The maximum cost to receive calls is now 0.11. This is down from 0.15 (around 10p) per minute, excluding VAT.
• The price of sending a text will remain the same. It will cost no more than 0.11 (around 10p) per text, excluding VAT. Consumers cannot be charged to receive texts.

The price reductions follow cuts to roaming costs made on 1 July last year (see the Maximum cost of using mobiles in Europe slashed again news story).

The current roaming rules will apply until June 2012 and the European Commission is due to present its plans for post- June 2012 next week. The aim is to further reduce prices by strengthening competition among operators.

Data roaming

Consumers are however often caught out by hefty mobile internet charges, otherwise known as data roaming, although last year the EU Parliament introduced a cap of roughly 49 per month on data roaming prices.

Last year’s rule change means the operating network must send customers a warning when they reach 80% of their data-roaming billing limit.

If the limit is reached, the operator must cut off the mobile internet connection unless the customer has declared in advance a wish to continue data roaming above their agreed limit in a particular month.

However, 49 is still a large amount, so to ensure you keep internet use to a minimum, use free wi-fi zones if your phone supports wi-fi and make sure you turn off data roaming on iPhones and other smart phones before you leave the UK as apps and email systems may use data when you are unaware.

Telecommunications watchdog, Ofcom also warns if you are planning to travel outside of Europe, it is especially important to check roaming prices before you go, as they can be higher.

Some operators will allow you to set a monthly limit on using mobile internet outside of Europe, to help avoid unexpected bills.

If you’re going outside of the EU it might also be a good idea to switch off you voicemail before you leave, as you could be charged when someone leaves a message on your voicemail (as well as when you pick the message up).

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Orange has launched the UK’s first system, which enables shoppers to pay for goods using their mobile phones.

In what it’s claimed could be the future of high street payments, the ‘Quick Tap’ system, unveiled today, enables customers to make purchases up to 15 by tapping their handset against a contactless reader.

Payments are accepted at 50,000 stores nationwide including Eat, Little Chef McDonald’s, Pret a Manger, Subway, Wembley Arena and Wilkinson.

Only Orange customers with its new Samsung Tocco Quick Tap mobile can use the system, although Orange says more handsets are expected to follow over the next few months.

You also need either a Barclaycard, Barclays debit or Orange Credit Card to spend via a mobile.

Bear in mind these cards may not be the cheapest to use.

How does it work?

You must first transfer up to 100 a time from your account to a special account on your mobile, which can hold a maximum of 150 at any time.

When you make a payment the money comes from that mobile account. However, Barclays, Barclaycard or Orange is liable for the money if your phone is stolen or anything else goes wrong, under normal banking guarantees.

Payments are made by tapping the phone against a contactless reader in-store, with users having the option to enter a Pin on their handset before each transaction.

The principle is the same as the London Oyster system for travel.

Orange vice president Pippa Dunn says: “Orange Quick Tap is the first of its kind. It’s going to start a revolution in the way we pay for things on the high street.”

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