Telstra is increasing phone line rental fees for households, businesses and charities as it tries to squeeze profit out of its copper network before the national broadband network replaces it.

Telstra will also increase local call costs on fixed phone and start charging some mobile calls in 60-second blocks instead of 30-second blocks.

Prices rising ... Telstra has seen a drop in profits from its copper network. Credit:Louie Douvis

The cost of a local call on Telstra's Complete, Plus and Advanced home phone plans will increase by 2¢ from October 1 to 22¢, 20¢ and 17¢ respectively.

Monthly rental fees will increase by about 6 per cent from $2 to $3 per month on these three plans to be $31.95, $33.95 and $44.95 respectively. The Together plan will rise by $5 per month, taking it to $74.90 per month.