Broadband prices could rise by up to one-third if regulators in Europe insist on strict “net neutrality” rules that would block carriers from charging content providers premium prices to prioritise certain web traffic, a leading think-tank is set to warn.

Net neutrality has become a big issue in the US as internet congestion has increased. In Europe, regulators and industry players have claimed that the situation is different because users have more choice of network providers, and the debate has been more muted.