Canadians will soon find it easier and cheaper to switch cellphone and internet providers, as a new ban on certain fees takes effect this Friday. The Canadian Radio-television and Telecommunications Commission (CRTC) announced the changes as part of its Consumer Protections Action Plan, designed to make telecommunications services more affordable.
No More Activation, Change, or Cancellation Fees
Under the new rules, telecommunications providers are prohibited from charging activation fees, plan-change fees, or cancellation fees for cellphone and internet services. Previously, activation fees ranged from $30 to $80, creating a barrier for consumers seeking better deals. The CRTC's decision removes these extra costs, allowing Canadians to switch plans or providers without financial penalties.
Background of the Decision
The measure stems from amendments to the Telecommunications Act that took effect on October 30, 2025, requiring the CRTC to implement stronger consumer protections. The CRTC conducted a public consultation, gathering input from consumers, advocacy groups, and service providers, to determine how to offer more flexibility in plan changes.
CRTC chairperson and CEO Vicky Eatrides stated in a March news release: “We are taking action to give Canadians more control over their internet and cellphone services. Today’s decision removes extra fees to activate, change or cancel a plan. This means that consumers can switch to a better deal without having to pay extra just to get the service that works best for them.”
Canada's High Telecom Costs
Canadian internet and cellphone bills remain among the highest in the G7. According to 2024 data from Innovation, Science and Economic Development Canada (ISED), Canadians pay the most for Level 7 broadband services (900+ Mbps download speed) at an average of $113.11 per month. Mobile wireless rates are also high: Canada ranks first in the G7 for Level 2 service (unlimited talk, text, and 5+ GB data) at $63.80 per month, second for Level 3 (20+ GB) at $65.40, and third for Level 4 (50+ GB) and Level 5 (100+ GB) plans.
A recent report by UK-based Broadband Genie also found Canada to be the most expensive country in North America for broadband, averaging US$55.26 per month (roughly CAD$77). The new fee ban aims to help consumers access more competitive offers and reduce these costs.
