Netflix raises prices for US customers

Streaming service Netflix has announced it is raising its prices in the US.

The company is increasing the cost of its standard plan in the US from $10.99 to $12.99 a month.

The rise - between 13% and 18% depending on the plan - marks the firm's second increase in less than two years and is the most significant since it launched streaming video in 2007.

UK prices have not changed, but subscribers in some countries outside the US can also expect increases.

Those countries include countries in Latin America and the Caribbean such as Uruguay, Barbados and Belize, where the firm also sets prices in dollars.

However, Netflix said the move was not an indication of global plans.

Netflix said: "We change pricing from time to time as we continue investing in great entertainment and improving the overall Netflix experience for the benefit of our members."

The increase comes as the firm is spending heavily on original material.

It is also facing mounting competition, as companies such as Disney and NBCUniversal announce their own plans to launch streaming services.

Netflix says it will notify existing subscribers of the increase before it goes into effect. The higher prices apply to new subscribers immediately.

Shares in the company jumped more than 5% on the news. The firm is due to report earnings to investors this week.