2026 Price Increase: How to Tell Customers (Template Included)
73% of UK trades are increasing prices in January 2026. The exact email, letter, and in-person scripts that get customers to accept your new rates.
You haven't raised prices since 2023. Materials are up 18%. Your van costs 22% more to run. Your time is worth £12/hour less than it was.
January 2026 is when you fix it.
Here's exactly what to say.
Keep your cash collection tight with How to Get Paid the Same Day in the UK, Service Business Pricing Mastery 2026, and Quote to Payment in 48 Hours.
Why You Must Increase Prices in 2026
This isn't greed. This is survival.
The Real Cost Increases Since 2023
The Reality: If you kept 2023 prices through 2025, you're effectively working for £12/hour less than you were. A 12% increase isn't raising prices - it's standing still.
How Much to Increase
The Decision Framework
8-10% Increase: Conservative
If you increased prices in 2024 or have very price-sensitive customers.
Example: £50/hour → £54/hour | £400 bathroom quote → £432
12-15% Increase: Standard
If you haven't increased since 2023. Covers cost increases, keeps your real wage level.
Example: £50/hour → £57/hour | £400 bathroom quote → £460
18-20% Increase: Catch-Up
If you haven't increased since 2022 or were underpriced to begin with.
Example: £50/hour → £60/hour | £400 bathroom quote → £480
Quick Calculator
Current hourly rate × 1.12 = New rate (12% increase)
When to Tell Customers
The Templates (Copy & Paste)
Template 1: Email to Existing Customers
Subject: Our 2026 Pricing Update
Why it works: Simple, factual, offers opportunity to book at old rate.
Template 2: Formal Letter (For Commercial Clients)
Why it works: Professional, justifies increase with specifics, maintains relationship.
Template 3: In-Person Script (For Current Jobs)
"Just wanted to give you a heads up - from January, my rates are going up to £[NEW RATE] per hour. Material costs and insurance have gone up quite a bit over the past couple of years, so I'm having to adjust.
If you've got anything else you need doing, booking it before Christmas locks in the old rate of £[OLD RATE]. After 1st January, all new work will be at the new rate.
I wanted to let you know directly rather than you finding out when I quote the next job."
Why it works: Conversational, gives them advance notice, offers pre-increase booking.
Handling Customer Pushback
Most customers won't push back. But some will. Here's what to say:
Objection 1: "That's a Big Increase"
"I understand it feels significant. I haven't increased prices since [2023], and in that time, my material costs are up 18%, insurance up 35%, and fuel up 12%. This increase just brings me back to where I was in real terms. My service quality hasn't changed - I'm still the same person doing the same quality work."
Key point: Show you've absorbed increases for years, not raising greedily.
Objection 2: "Can You Do Better for Loyal Customers?"
"I really appreciate your loyalty, and that's exactly why I'm giving you 30 days notice and the option to book work at the old rate through December. But the new rate reflects my actual costs - if I discount for everyone, I'm not running a sustainable business. I'd rather keep delivering great work at a fair price than cut corners to be cheapest."
Key point: Acknowledge loyalty but hold firm on rate.
Objection 3: "I'll Find Someone Cheaper"
"I completely understand if you need to shop around. You know the quality of my work, my reliability, and that I stand behind everything I do. I'd be happy to work with you again if it doesn't work out with someone else, but my rates will be £[NEW RATE] from January onwards."
Key point: Don't chase them. Confident, take-it-or-leave-it approach.
Who NOT to Tell (Yet)
Don't Announce Price Increases To:
- ×Quote-stage prospects - They haven't committed yet. Quote new rates or lose the job.
- ×Contracts with fixed pricing - Honor the contract price until renewal. Renegotiate at renewal.
- ×Jobs already quoted and accepted - Complete at quoted price. New work = new rate.
What to Expect
5-10% of customers will complain
Normal. Most will still book. A few will leave - usually price-shopping customers you're better off without.
December booking rush
Customers will rush to book at old rates. Manage capacity - don't overcommit.
90% will accept without question
Most customers understand costs go up. They're not surprised. You're overthinking this.
January will feel quiet
Always does. Don't panic. February picks up. You made the right decision.
The Real Cost of Not Increasing
If You Keep 2025 Prices Through 2026
Materials +15%: Absorb £3,600/year (based on £24k materials)
Insurance +20%: Absorb £480/year (based on £2,400 insurance)
Fuel +10%: Absorb £360/year (based on £3,600 fuel)
Opportunity cost: £12/hour × 1,800 billable hours = £21,600
Total cost of not increasing: £26,040
The Bottom Line
You're not raising prices. You're correcting them.
Materials, insurance, fuel, tools - everything costs more. Your time is worth what it was worth in 2023, adjusted for inflation.
Send the email in early December. Expect 90% acceptance, 5% complaints, 5% losses (mostly price shoppers you're better without).
January 1st: new rates. No apologies. Just business.
2026 Price Increase Checklist: ✓ Calculate new rate (12-15% minimum) ✓ Update quote templates by 15 Dec ✓ Send customer emails 1 Dec ✓ Book December rush capacity ✓ Go live 1 Jan 2026
Launch your 2026 price increase inside Toolfy
- •Segment domestic vs commercial customers with one filter
- •Send the approved SMS + email scripts with tracked opens and replies
- •Auto-update every quote and invoice template on the go-live date
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