Big Blow to consumers as mobile recharge to get costlier; Know how much more you may pay

Mobile recharge plans in India may become costlier from June 2026 as telecom operators prepare for a tariff hike of up to 15 percent, according to analyst reports. Rising data usage, higher ARPU, and strategic pricing adjustments are driving this move.

Post Published By: Sona Saini

Updated : 9 January 2026, 3:58 PM IST

Telecom Tariffs May Rise by 15%, Users to Feel the Pinch

New Delhi: In 2026, ordinary consumers may once again face inflation. According to reports, mobile recharge plan prices may see a significant increase starting June 2026. Telecom companies are preparing to increase tariffs after nearly two years, which could make mobile services costlier by up to 15 percent. This will directly impact the monthly spending plans of millions of mobile users.

Why Mobile Tariff Rates May Rise

According to a report by brokerage firm Jefferies, mobile tariffs in India are likely to increase by up to 15 percent. This timeframe is considered in line with previous industry trends. The report states that telecom companies' average revenue per user (ARPU) is steadily increasing due to rising data demand, a growing shift towards postpaid plans, and increasing internet usage.

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Sector earnings expected to surge

The telecom sector's revenue growth is expected to reach 16 percent year-on-year (YoY) in FY27 due to increased recharge prices and strategic pricing adjustments. This is significantly higher than the 7% growth estimated for FY26. Considering a potential tariff hike in June 2026, analysts forecast a 14% annual ARPU increase for FY27.

User growth may be impacted

However, the report also cautions that subscriber growth may slow after the price hike. Consumers will try to adjust to the increased rates, which could limit new users or cause some to shift to cheaper plans.

Strategy of Jio, Airtel, and Vodafone Idea

According to reports, Reliance Jio may increase its mobile tariffs by 10 to 20%. This is said to be aimed at narrowing the valuation gap with Airtel and providing investors with a double-digit internal rate of return. Meanwhile, the situation remains more challenging for Vodafone Idea (VI). To meet its outstanding payments, the company may have to increase mobile service rates by up to 45 percent between FY27 and FY30.

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What this means for ordinary consumers?

If tariffs increase from June 2026, ordinary users may have to reconsider their mobile spending. This will be particularly difficult for prepaid users and heavy data users. All eyes will be on the official announcements from telecom companies in the coming months.