Tesco Mobile has launched a SIM only contract today and is set to introduce a new flat rate prepay tariff later this month.
Both the MVNO’s prepay and contract tariffs offer customers half price calls and texts to five numbers and three Clubcard points to use in Tesco supermarkets for every £1 spent on credit.
Tesco contract customers paying £15 a month will receive bonus credit of £45 giving them £60 credit. The £20 tariff gives customers £80 worth of credit.
The prepay offer will be available from October 27, giving customers spending £10 a month on credit a further £10 bonus airtime or £30 bonus airtime when topping up £15.
Tesco said its billing system allows customers to move easily between the contract or prepay tariffs. Tesco Mobile chief executive Lance Batchelor said: “We believe that we now have the most flexible and the easiest to use tariffs in the market.
“Tesco Mobile’s success is based on listening to feedback from our customers. We aren’t going to force them to pick and choose from a huge number of complicated tariffs or limit them with bundles of calls and texts.
“We are simply going to give our customers unbeatable rewards of flexible credit which makes us a serious alternative to the traditional networks.”
Calls to UK mobiles and landlines are charged at 20p per minute and 10p a text.