Yahoo Movies What are Netflix's password sharing rules?
The streaming service launched a 'paid sharing' scheme in the UK in 2023
Streaming giant Netflix has become a household staple for millions since its launch in the UK back in 2012. But last year it introduced one of its most controversial changes by clamping down on users who share their passwords with friends and family.
The move appears to have started a trend in the streaming world. Disney+ recently followed in the footsteps of its rival by rolling out similar restrictions, and US services ESPN+, Max and Hulu could all follow suit.
Disney boss Bob Iger has previously praised Netflix's curbs on password sharing, which were introduced last year. "Obviously, we're heartened by the results that Netflix has delivered in their password sharing initiative," he said, "and believe that it will be one of the contributors to growth."
But what exactly are Netflix's restrictions, and can users still share their accounts? Here is everything you need to know.
What are Netflix's password sharing rules?
Netflix users in the UK used to be able to freely share their account password with friends or family. But the streaming service launched a 'paid sharing' scheme in the UK in May 2023, in an attempt to boost its subscriptions and profits.
The move means subscribers must now pay an extra £4.99 per month for each person they share their password with outside their household.
The company's website states that each extra member "will have their own profile, account, and password, but their membership will be paid for by the person who invited them to join". The service tracks IP addresses and account activity to detect whether an account is being used by people in different locations.
Netflix, which is home to hit shows including Stranger Things, Bridgerton and Wednesday, has an estimated 15 million subscribers in the UK, making it the country's most popular paid streaming service. Before last year's crackdown, around four million users were letting friends and family use their accounts for free, according to reports.
The firm's vice-president of UK content, Anne Mensah, said that "widespread" password sharing "curtailed our ability to to put money back into the industry". She added that customers are Netflix's "first and foremost focus" and that a year was spent debating and testing the new scheme.
Netflix chairman Reed Hastings previously said he was comfortable with users sharing their passwords. "Password sharing is something you have to learn to live with," he said in 2016, "because there's so much legitimate password sharing, like you sharing with your spouse, with your kids. So there's no bright line, and we're doing fine as is."
Despite facing some backlash over the U-turn, Netflix's new scheme appears to have paid off. The company reported a surge in subscribers at the end of last year. "We are incredibly pleased with how it has been going," co-CEO Greg Peters said of the clampdown.
Has Netflix raised its prices in the UK?
Netflix last hiked its prices in the UK in October 2023, amid rising inflation and the cost-of-living crisis. The streaming giant's basic ad-free plan was increased by £1 a month to £7.99, with the cost of the premium option rising by £2 per month to £17.99. Its standard tier remains £10.99 per month.
However, the basic plan was axed in June 2024, having already been unavailable to new subscribers since June 2023. The move was an apparent attempt to draw subscribers to either its ad-supported plans or the premium tier.
Netflix has yet to announce any possible further price rises before the end of 2024. However, in February, analysts at UBS Securities predicted another hike, saying: "We expect to see rate increases this year."
