New rules unveiled yesterday by UK regulator Ofcom could force incumbent BT to reduce the amount it can charge for its wholesale service in rural areas.
Ofcom has unveiled proposals to cut the prices BT can charge in parts of the UK where it is the sole…
New rules unveiled yesterday by UK regulator Ofcom could force incumbent BT to reduce the amount it can charge for its wholesale service in rural areas.
Ofcom has unveiled proposals to cut the prices BT can charge in parts of the UK where it is the sole provider of wholesale broadband services by between 10.75% and 14.75% below inflation.
The move could increase competition between retail ISPs, leading the way to a better quality of service, Ofcom said.
However, a BT spokesman warned it is crucial for Ofcom to strike a balance between control and incentives to invest in rural areas.
“BT understands Ofcom’s desire to move from voluntary to more formal wholesale broadband pricing controls in the most rural parts of the country given this defined market is getting smaller as deregulation expands elsewhere,” he told the Press Association.
