Demand for bundled broadband deals has increased by over a third in the last year, it has been revealed.

According to figures from Ofcom's annual Communications Market Report for 2007, the proportion of customers opting for bundles - which package together landline, broadband, television and mobile phone services - was up 40 per cent in the last 12 months.

The move towards bundled services comes as amid increasing competition in the broadband provider sector, which has driven down prices. Ofcom's figures showed that the price of a package in 2006 fell by around £6.51 compared with 2005.

Reuters news agency said: "The growth of broadband penetration has been driven in part by groups such as satellite operator BSkyB and Virgin Media, which offer broadband as part of their packages."

Meanwhile, the average speed of UK householders' broadband connections has doubled in the last year, according to Ofcom.

In 2006, the average blended headline broadband speed stood at 3.5Mbit per seconds, up from 1.6Mbit per second for 2005.