It’s good to talk and now it could be even cheaper after Ofcom announced changes to pricing.
The independent communications regulator had said BT should slash its wholesale prices for competitors that access its copper network.
Operators such as BSkyB and TalkTalk could then pass these savings on to their customers, meaning telephone and broadband could become more affordable.
These costs are regulated by Ofcom because of BT’s “significant market power” and the watchdog is now recommending revised “charge controls” on some products.
Other providers pay £84.26 per year for each connection to the Openreach network.
The proposals could see this fully unbundled service, when providers assume full control of the line, cut by up to 6% below the rate of inflation from 2014 until 2017.
Charges for shared unbundled lines, when the operator takes over part of the line to provide broadband only, could fall between 8% and 12% every year.
The biggest savings have been suggested for wholesale line rental, used by communications companies to offer phone services on Openreach lines to their own customers.
They are currently charged £93.27 annually and, under the proposals, this will fall between 2% and 8%.
Ofcom said it hoped the new prices would provide an incentive for companies to invest in networks while also ensuring that broadband and landline prices remain affordable for customers.
It also advised that BT would not face a cap across all its services, saying: “Since the last such review in 2012, competition has spread to more rural areas as communications providers have rolled out their own networks, based on unbundling BT’s lines, to smaller telephone exchanges.
“Ofcom has found that the area of the UK with effective competition has grown in the last three years from 78% to 90%.
“Ofcom is proposing no regulation in this competitive area, but to impose regulation, including a charge control on BT’s services in the less competitive remaining 10% of the UK.”
Although these revisions will be welcome news to those looking for better deals on their broadband and phone services, BT revealed it would be looking at the plans in greater detail.
A spokesman said: “These proposals are complex and we will review them in depth.
“There are a number of areas where we believe Ofcom have not fully recognised the costs of providing services.”
The consultation process on BT’s wholesale pricing structure will close on September 25.
Ofcom confirmed that it aims to publish a statement on its final decision by spring next year.