Brits are losing £800m every year because they are on the wrong mobile phone tariff, says Top10.com.

Research by the comparison website revealed on average mobile phone users could save £62 per year by switching contracts.

Furthermore, 42 percent of Brits admitted they found mobile phone tariffs "confusing" while 55 percent of those with monthly contracts never use up their minute allowance.

8 percent of Brits on monthly contracts exceed their allowances and end up paying more

Top10 also said eight percent of those on monthly contracts were paying on average an extra £10 per month because they exceed their allowances.

"With so many mobile phone contracts available, it's no surprise that so many people find tariffs confusing. But it's worrying that so many people are wasting money every month because they don't change their tariff to match their level of usage," said Alex Buttle from Top10.com

"Before people upgrade their phones or switch networks, we recommend they check their previous bills to work out how many minutes they're actually using.

Buttle said this is even more important now that new devices like the iPhone and HTC smartphones come with long contracts, generally lasting 24 months.

"Making the right contract choice is just as important as picking the right phone."

See also: 48% of Brits don't know what 'SIM-only' deals are