As over 2.2 million UK households struggle with the cost of mobile services, Three and Vodafone have both already rolled out above-inflation price hikes of up to 14% on monthly plans.
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A merger would only exacerbate these pains for UK consumers.
Research by the former Chief Competition Economist at the European Commission shows that prices could increase up to 50% following a Three-Vodafone merger. Based on current average spending patterns, this means UK consumers would pay up to £300 more per year on their mobile bills.
In addition to boosting profits and driving up prices for consumers, a merger would mean big job cuts. Up to 1,600 jobs could be lost if the merger goes through in addition to the brutal 11,000 global job cuts Vodafone have recently announced.
The owners and leadership of Three’s parent company, CK Group, collaborate with Chinese state repression in Hong Kong.
A merger would give the CK Group significant control over the data of 27 million customers —and access to sensitive public sector contracts.
Vodafone is currently a strategic supplier to the UK public sector.
Vodafone provides data and telecoms services to the Ministry of Justice, including running a pre-recorded evidence service for survivors of rape and sexual violence. It also provides the infrastructure for the NHS 111 helpline.
Three is not currently a public sector supplier, so this merger would give Three and CK Group direct access to sensitive government telecoms contracts for the first time.
Gail Cartmail, executive head of operations for Unite said: “This deal will give a company with deep ties to the Chinese state an even more prominent place at the heart of the UK’s telecommunications infrastructure.
"On top of that, it will hike people’s bills and mean job losses for Vodafone and Three workers.” ■
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