I have just seen this text assiciated with an annual contract.
Want the detail? 'You stay we pay' explained.
For every year you stay with PlusNet we'll guarantee that the cancellation cost decreases. What does this mean? If you cancel within the first year, then you will pay £47 for the activation. For every year you stay we'll reduce this by £9.40. If you also choose to take a modem as part of the offer there will be an additional cancellation fee of £25 in the first year and this will reduce by £5 for each year that you stay.
You can choose an annual or monthly contract when you choose broadband. If you choose the monthly contract option in conjunction with this offer there is a one-off charge of £11.75.
Prices correct at time of publication and exclude short term special offers.
* availability of maximum download speed is subject to location
The way I am seeing this is that to not pay the fee you would have to sign up to antoher contract with Plusnet.
This isn't only available on an annual contract, as you can also chose to defer the activation fee on a monthly contract as well. Simiarly, the same terms apply to the deferred house moves that we offer.