Budget broadband provider Plusnet has slashed the cost of its internet and home phone bundle, offering five months half price plus £50 cashback.

The package costs just £16.62 for the year, excluding line rental, and is available exclusively through comparison site Broadbandchoices.co.uk until July 9.

Plusnet said customers could save around £224 from the average annual bill by switching to the new deal.

The bundle offers speeds of up to 16Mb and a 10GB download limit, with free evening and weekend calls, making it suitable for light internet users.

Dominic Baliszewski at Broadbandchoices.co.uk said: “The monthly broadband bill is frequently forgotten despite being an area where huge savings can be made, so anyone who hasn’t switched provider in more than 12 months should do a postcode search using an Ofcom-accredited price comparison site to see what deals are available in their area.”

Line rental charges are £12.99 a month or the equivalent of £9.49 a month if paying 12 months upfront.