BT to cut landline costs for up to one million people - BBC News

26
Edited by:"m00head"Found 26th Oct 2017
BT to cut landline costs for up to one million people - BBC News

Quote:
"BT will slash costs for customers who only have a landline, after a review by regulator Ofcom.

From April 2018, the telecoms company will reduce the price of its monthly line rental by £7, a 37% decrease from the current cost of £18.99.

The reduction will save up to a million households £84 a year, and customers will have their rental costs capped at the rate of inflation.

Ofcom expects three other providers to follow suit.

Nearly two-thirds of BT customers with only a landline are over 65 and more than three-quarters have never switched provider, the regulator said.

Ofcom said they had been getting poor value for money in recent years, compared to those who buy bundles of landline, broadband and/or pay-TV services.

Phone bills 'soar'

Two other providers have increased their rental charges by even more than BT.

According to Ofcom, both Sky and Virgin Media have put up their charges by 47% above the rate of inflation since 2009.

At the same time the wholesale cost of providing the service has actually fallen by 27% in real terms.

"For many people, their landline is their lifeline," said Jonathan Oxley, Ofcom's competition group director.

"But households who only have a landline - and no broadband - have seen their phone bills soar. Many are elderly and have been with BT for decades. We've been clear that they must get a better deal."

The other firms that provide landline-only deals, Virgin Media, Sky and the Post Office, have not yet commentated on whether they will reduce their charges.

Talk Talk withdrew from that part of the market, to concentrate on broadband and phone bundles.

The regulator also said it wanted to help those who buy a phone service from one provider and broadband from another.

BT said it welcomed "a balanced voluntary agreement with Ofcom" and that it had "listened to the concerns of our line-only customers".

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26 Comments

So how does this affect having a bt line with talk talk broadband?

Although I'm sure you can get cheaper deals with smaller companies even with the cut last time i looked i think a company called uno or something similar was best, only problem is if little places like that stay in business and if they are really successful they get swallowed up and messedup by the big companies, such as nildram did and plusnet.

Original Poster

"But households who only have a landline - and no broadband - have seen their phone bills soar. Many are elderly and have been with BT for decades. We've been clear that they must get a better deal."

It's about time people who only have a landline are no longer forced to subsidise BT Sport.

Last time around (2015), BT paid around £1 billon for the Premier League rights and another £1 billion for the UEFA Champions League rights.
Edited by: "m00head" 26th Oct 2017

I only have a landline for the Internet, thats it. Dont even have a phone. Wish Bt wouldnt charge me this

darthvader666uk15 m ago

I only have a landline for the Internet, thats it. Dont even have a …I only have a landline for the Internet, thats it. Dont even have a phone. Wish Bt wouldnt charge me this


The BBC have reported on this, talk about the pot calling the kettle. 20 million households would save £146 a year if they didn't have to fund the BBC and its left wing gravy train.

Original Poster

Graham197939 m ago

The BBC have reported on this, talk about the pot calling the kettle. 20 …The BBC have reported on this, talk about the pot calling the kettle. 20 million households would save £146 a year if they didn't have to fund the BBC and its left wing gravy train.


In Germany the TV licence is now mandatory even if you don't have a TV.

In the UK, the TV licence is still voluntary. Also, a TV licence is not required if you subscribe to a non-live service such as Netflix or Amazon Prime Video, etc (but not BBC iPlayer).
Edited by: "m00head" 26th Oct 2017

i have been on about this for some time and moobhead is right about all landlines the subsidising the BT TV setup allowing the forming of a massive media company at our expense a damm good reason why the watchdog should once again consider splitting BT and openreach
It's almost like the police catching thieves and continually letting them off with a "don't do it again but you can keep the profits you have made stealing the last 8 years"
But I do wish the bbc reporting would actually learn enough facts, in the bulk there are only two landline providers in this country virgin and openreach

maddogb18 m ago

i have been on about this for some time and moobhead is right about all …i have been on about this for some time and moobhead is right about all landlines the subsidising the BT TV setup allowing the forming of a massive media company at our expense a damm good reason why the watchdog should once again consider splitting BT and openreachIt's almost like the police catching thieves and continually letting them off with a "don't do it again but you can keep the profits you have made stealing the last 8 years"But I do wish the bbc reporting would actually learn enough facts, in the bulk there are only two landline providers in this country virgin and openreach


No different to any other company you have people like Coca-Cola sponcership for sports that costs lord knows how much that gets passed on to the consumer.

I don't know about anyone else but i don't see the point in it over standard advertising via billboards and tv\radio advertising, i am not more inclined to buy something from a company just because they are an Olympic sponcer

my internet speed has been cut in half for the last few months with BT any idea on the best way to complain about this and something actually be done about it?

Segata-Sanshiro4 m ago

No different to any other company you have people like Coca-Cola …No different to any other company you have people like Coca-Cola sponcership for sports that costs lord knows how much that gets passed on to the consumer.I don't know about anyone else but i don't see the point in it over standard advertising via billboards and tv\radio advertising, i am not more inclined to buy something from a company just because they are an Olympic sponcer



it is very different, geographically a huge amount of people in this country can access no other line provider than openreach.
my own exchange in a quietish Cumbria village has approx. 900 lines with only openreach in there, as line rentals from them nearly doubled in the last eight years with the real cost actually going down as per the ofcom report this is a massive amount of money "stolen" from the general public.

maddogb9 m ago

it is very different, geographically a huge amount of people in this …it is very different, geographically a huge amount of people in this country can access no other line provider than openreach. my own exchange in a quietish Cumbria village has approx. 900 lines with only openreach in there, as line rentals from them nearly doubled in the last eight years with the real cost actually going down as per the ofcom report this is a massive amount of money "stolen" from the general public.


I thought they was ordered to give up their monopoly on the lines?

they should offer reduced costs to those that only use landline for broadband. good to hear.

we don't use the landline but need it for broadband so it seems like we are paying for a service that we don't use.

Segata-Sanshiro25 m ago

I thought they was ordered to give up their monopoly on the lines?



nope, they(openreach) must make the lines available at "cost" to whoever qualifies and can put a connection to the exchange, but as you can imagine huge complex organisations have a habit of "acquiring" costs that could really be dispensed with (like the hidden tax to build up a media empire for the owners as that of course was a necessary expense)

I know the lines at the exchange are split into multiple users if you see what i mean but the costs really should be on a individual bases to ensure equality and the percentage set by someone else not BT

The system, lines, exchanges should be in public ownership and BT a privatised company like all the rest providing a service and paying for it.

m00head5 h, 27 m ago

In Germany the TV licence is now mandatory even if you don't have a TV.In …In Germany the TV licence is now mandatory even if you don't have a TV.In the UK, the TV licence is still voluntary. Also, a TV licence is not required if you subscribe to a non-live service such as Netflix or Amazon Prime Video, etc (but not BBC iPlayer).


So yesterday I watched S1 E5 of the A-Team which was "live" unlike most of the cast yet I have to pay Rolf Harris' pension to do so? BAN THE BBC!

maddogb7 h, 10 m ago

i have been on about this for some time and moobhead is right about all …i have been on about this for some time and moobhead is right about all landlines the subsidising the BT TV setup allowing the forming of a massive media company at our expense a damm good reason why the watchdog should once again consider splitting BT and openreachIt's almost like the police catching thieves and continually letting them off with a "don't do it again but you can keep the profits you have made stealing the last 8 years"But I do wish the bbc reporting would actually learn enough facts, in the bulk there are only two landline providers in this country virgin and openreach



Nonsense

Bttv is a bit retail product so there is no way by wholesale or openreach could charge for lines just to help out what is effectively a customer of theirs - ofcom would make by group sell off openreach completely weren't here even a sniff of this

jase.215 m ago

NonsenseBttv is a bit retail product so there is no way by wholesale or …NonsenseBttv is a bit retail product so there is no way by wholesale or openreach could charge for lines just to help out what is effectively a customer of theirs - ofcom would make by group sell off openreach completely weren't here even a sniff of this


No they wouldn't. Wasn't there an investigation before by Ofcom which concluded they were in fact not separate enough? They weren't forced to sell Openreach then and there didn't seem to be any penalty for Ofcom not doing their job either.

jase.244 m ago

NonsenseBttv is a bit retail product so there is no way by wholesale or …NonsenseBttv is a bit retail product so there is no way by wholesale or openreach could charge for lines just to help out what is effectively a customer of theirs - ofcom would make by group sell off openreach completely weren't here even a sniff of this



lol how naive
big business would never dream of hiding stuff from the regulator in favour of greatly increased profits

MSK.35 m ago

No they wouldn't. Wasn't there an investigation before by Ofcom which …No they wouldn't. Wasn't there an investigation before by Ofcom which concluded they were in fact not separate enough? They weren't forced to sell Openreach then and there didn't seem to be any penalty for Ofcom not doing their job either.



i know right, can you imagine a shoplifter being continuously caught and being told "ah its ok you keep it just don't do it again "
also 1 million lines seems a tiny amount of the number of lines in this country so i suspect there will be more ofcom order dodging by the BT group to follow but hey the millions they will make in the time it takes ofcom to check again will be enough to buy a small country.
Edited by: "maddogb" 26th Oct 2017

Nationalise the entire network,then nationalise the entire utility sector. Theyve had 20 odd years to sort out this swindle and they havent done anything to sort it out.
1p per company should suffice.

You mean Sky, Talktalk and others choose not to install their kit in exchanges where they won't see a tidy profit returned?
openreach on several occasions have offered the above companies access to their ducts to run in their own infrastructure.

Once again, ofcom proves how useless they are. What is the point of a regulator that has no powers to act?

This is more important and affects all of us


'According to Ofcom, both Sky and Virgin Media have put up their charges by 47% above the rate of inflation since 2009.

At the same time the wholesale cost of providing the service has actually fallen by 27% in real terms.'

chocci5 h, 15 m ago

Once again, ofcom proves how useless they are. What is the point of a …Once again, ofcom proves how useless they are. What is the point of a regulator that has no powers to act? This is more important and affects all of us'According to Ofcom, both Sky and Virgin Media have put up their charges by 47% above the rate of inflation since 2009.At the same time the wholesale cost of providing the service has actually fallen by 27% in real terms.'



But you have to remember those increases would not have happened if BT had not raised the bar, if the market leader puts up its prices then the smaller companies can raise theirs and still appear competitive,
The crazy thing is the timing suggests this need for vastly increased profits to launch the BT Tv setup but by increasing base costs allowing Virgin etc to increase their prices it gave the competition more money to bid for content meaning prices increased for all TV content as well and only one real loser, the consumers.

maddogb2 h, 41 m ago

But you have to remember those increases would not have happened if BT had …But you have to remember those increases would not have happened if BT had not raised the bar, if the market leader puts up its prices then the smaller companies can raise theirs and still appear competitive, The crazy thing is the timing suggests this need for vastly increased profits to launch the BT Tv setup but by increasing base costs allowing Virgin etc to increase their prices it gave the competition more money to bid for content meaning prices increased for all TV content as well and only one real loser, the consumers.



totally agree but still doesn't negate the pointlessness of a regulator which has no powers (or if it does, then it must have some brown parcel negotiation going on not to use it )

chocci44 m ago

some brown parcel negotiation going on


lol, loving that phrase

just been seen a news post on this and it appears worse than we thought,
BT Openreach has completely baffled ofcom into thinking it's customers who only rent landlines from them without broadband or any other features that are getting ripped off???
cmon ofcom surely you can see everyone pays extra for those other features so they have nothing to do with the cost of line rental.....
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