It isn't illegal. Please see the following thread.
If you aren't happy with the prices offered then phone again, you might get a better deal but don't expect to receive new customer pricing again, you've already had that as your initial new customer deal.
Have some figures for other providers handy too to use as a negotiating weapon.
Retentions are generally based in the UK, and have a greater degree of knowledge and flexibility, along with a larger range of discounts than the front line agents. Hopefully you can negotiate a deal with them that's suitable to your pocket and needs in exchange for a new contract.
The actual prices can vary on a day to day basis, if you are happy with the price quoted then accept it as it may not be available again. If you do accept the new price and then change your mind then you have 14 days to call back and cancel the new deal and revert back to your old package and then place your cancellation notice.
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