Thinking of cancelling Netflix? This big subscription change may stop you

Money is tight right now so it is understandable that many will be looking at the amount of streaming packages they are signed up to and want to cancel a few of them. A new subscription change by Netflix, however, may mean that you will want to hold on to the package that you have currently got.

Netflix has decided to get rid of its Basic tier in Canada (first reported by Tech Crunch), meaning that if you want to sign-up for cheap Netflix then the only option is to go down the ad-funded route. Going forward, those on the cheapest Netflix tier in Canada will have to endure adverts while streaming Netflix.

• The most popular Netflix shows and movies of all time.

Now, you may be thinking: but I am not in Canada, so all is good. Very true but Netflix has a a habit of testing these things in different countries before rolling out globally.

That is exactly what happened with the recent password sharing situation and it's sensible to assume that Canada will not be the only place in the future where the Basic tier disappears.

There will be tiers

Currently, if you are in the US and the UK the basic tier of Netflix costs $9.99 / £6.99 a month and this allows:

• Unlimited advert-free movies, TV shows, and mobile games
• Watch on 1 supported device at a time
• Watch in HD
• Download on 1 supported device at a time

Below this, there is the Standard With Ads tier which is cheaper at £4.99 / $6.99 and offers:

• Advert-supported, some movies and TV shows unavailable, unlimited mobile games
• Watch on 2 supported devices at a time
• Watch in Full HD

If the Basic tier disappears in your country, like it had in Netflix's Canada tests, then the next subscription tier without ads is Standard at $15.49 / £10.99 a month which is quite the hike.

Netflix has revealed, though, that if you are currently on the Basic tier in Canada then you will not be asked to switch over.

This is key for those who are on this tier elsewhere: looks like if you want to keep it, then it's best to stay on it. Otherwise if you cancel for a few months, then it may be the case that the Basic tier disappears is not an option any longer.

Now, if you can handle a selection of ads with your streaming, then you will also find some other benefits with the ad-funded packages. You get to watch in Full HD for a start (1080p, compared to 720p on Basic) and you can view on two supported devices at a time, compared to one on Basic.

Offline viewing isn't available, though, and that is a key USP for the Basic tier. Essentially it means that you won't be able to download anything to watch when on a plane, out of signal etc.

For more information on Netflix's tiers, head to the official Help section of the site.