Have you noticed that your phone bill has significantly decreased over the past few years?
Prime Minister Justin Trudeau took to social media on Thursday with a bold claim that his government has cut the price of cellphone bills “by half” over the past five years, garnering plenty of reaction.
We’ve cut the cost of cell phone plans in half since 2019 — in part by increasing competition.
Next, we’re going after the junk fees on your phone bill, so you can do things like cancel your plan or switch to a cheaper one with no added charges. #Budget2024
— Justin Trudeau (@JustinTrudeau) April 18, 2024
“My cellphone bill has went up. Stop lying,” wrote one X user.
My cell phone bill has went up. Stop lying.
— Jayde (@Jayde8700) April 18, 2024
*checks bank account*
Sir, I do not believe this is true. https://t.co/1pNu85IUiS
— David Moscrop (@David_Moscrop) April 18, 2024
Um, Mr. Prime Minister? My phone bill has NOT been cut in half since 2019. Looking forward to 5 year retroactive cheque from government soon. Cheers. https://t.co/PcFBq1tSs7
— Steve Patterson (not a parody)🇺🇦 (@patterballs) April 18, 2024
But others said they’ve noticed plans get cheaper over the years.
“It’s still bad, but people forget just how bad it was,” another X user said.
Plans are absolutely cheaper now than they were five years ago in Canada, especially when factoring in inflation. It’s still bad, but people forget just how bad it was. If you’re not paying less than you were — even $40-50/mo. less — you need to pick up the phone (pun intended).
— Scott Wheeler (@scottcwheeler) April 18, 2024
I’m paying substantially less per month for substantially more data than I was in 2017.
I give a checkmark for this claim.
— Glenn Finockio (@gfinockio) April 18, 2024
I know this is not going to be a popular tweet, but in fact, the cell phone deals I find are getting better. And they call me every once in a while with a better one. You have to shop around though- be ready to be ruthless with your provider. WALK. I’m with @TELUS . https://t.co/VP4goHjC47
— Sarbjit Kaur (@sarbjitkaur1) April 18, 2024
So what exactly is the deal with cellphone bill prices in Canada?
Daily Hive reached out to the Prime Minister’s Office to follow up on Trudeau’s claim.
“Our government has made significant progress to reduce the cost of cellphone plans, and to increase access to these services,” a government spokesperson said via email.
“To achieve this, we introduced measures to support competition, including spectrum policies and a new policy direction to the Canadian Radio-television and Telecommunications Commission.”
The spokesperson pointed to Statistics Canada data, which shows a nearly 50% price drop in cellular services from March 2019 to March 2024.
Data measuring cell phone plan costs between 2016 and 2024 indicates a 52% decrease, according to Budget 2024.
Federal Budget
This “spectrum of policies” includes the CRTC approving the terms and conditions for a policy called the mobile virtual network operator (MVNO) to increase competition and lower prices for cellphone plans in 2022.
The policy aimed to open the door for more companies like smaller regional providers in rural areas, to access the cellular networks of Canada’s telecom giants like Bell, Rogers, and Telus.
In August 2023, MNVO agreements were reached, requiring large wireless providers to negotiate “in good faith” with small wireless providers in order to agree on MNVO access rates.
The federal spokesperson added that the price declines have been seen “tangibly” in the marketplace.
“For example, in 2022, 20-gigabyte plans were being sold for an average of $73. In December 2023, these plans were widely available for prices in the range of $30 to $40. Plans can also include free international roaming in the US or other attractive international roaming options,” they stated.
However, a recent Globe and Mail report claimed that Stats Can reporting can “overstate the extent to which people are paying less” on their bills.
The agency does not have access to month-to-month data on what Canadians are paying for their bills and instead bases its data on price plans listed on wireless companies’ websites, notes the report.
Canada also still has some of the most expensive countries in the world when it comes to mobile data.
Earlier this year, two of the country’s largest wireless providers were slammed raising cellphone bills depending on the type of plan customers had.
Trudeau added in his X post that the 2024 budget will go after “junk fees,” making it easier for Canadians to cancel, switch, or renew cellphone plans.
The proposal also seeks to investigate international mobile roaming charges through a new CRTC study to ensure cellphone fees paid by Canadians are “fair and affordable.”
Full details on how Trudeau and the federal government plan to curb cellphone fees can be found here.