Last month saw V21 touting the 'cheapest' broadband, and now its chief rival in the low-cost broadband arena has hit back with an even lower priced deal.

PlusNet is offering what it calls a 'Starter Pack' that provides you with all you need to get hooked up to broadband. The self-install pack contains: telephone line activation, two ADSL line splitters and the choice of an internal or external modem or network router. The pack comes with a setup guide, which PlusNet promises will allow "even a complete novice to set up with ease".

The Starter Kit costs £99.99 with a PCI modem, £110.99 with a USB modem or £145.99 with a router (all prices include VAT). Customers can then pick one of PlusNet's ADSL offerings, which start at £20.99 a month for PlusNet's ADSL Home Surf service.

Picking the cheapest deal would make the total cost for a year's broadband just over £350. V21's service, which launched at the beginning of this month, has a lower monthly charge of £19.99, but users have to pay a £70.48 installation fee and a modem charge of £94, taking the total for a year to over £400.