BT Urged To Cut Internet Fees

The telecoms regulator Oftel has called on BT to reduce the price of its unmetered internet access on the basis that it is charging operators unnecessary costs.

BT has been told to cut prices by 17% because it has been billing for certain call routing and call management measures that Oftel believes are no longer necessary. Any refunds will be backdated to December 2001 when BT made enhancements to its network which are meant to have rendered many procedures unnecessary.

“When Oftel required BT to introduce a wholesale unmetered internet access product, BT introduced a number of additional measures to support the new service and which were included in the charge to other operators,” said David Edmonds, Director General of Telecommunications. “BT has since made a number of improvements to its network, which means the internet calls traffic can be processed without the additional measures.”

BT announced today that it is to extend ADSL broadband internet services to 90% of UK households. Development agencies and local authorities will help to subsidise the cost of rolling out ADSL services to rural and outlying areas that were previously considered too expensive to reach.

Earlier this week, the telecoms giant said that it would be reducing the price of broadband high-speed internet connections for home users and small businesses. “These price cuts will benefit everyone from service providers to consumers and businesses and will ensure that the UK continues to have some of the lowest prices in Europe,” said BT chief executive Ben Verwaayen.

However, the company has incurred the wrath of competitors by increasing the price it charges to ISPs to activate a new account from £25 to £50.

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