Virgin will be free to enter the competitive mobile broadband market by the end of the year, after an agreement with T-Mobile.

T-Mobile is Virgin's mobile virtual network operator (MVNO) and now the two telecoms companies have struck a deal which will allow Virgin Mobile to offer mobile broadband services to customers.

Dongles and 3G handsets are expected to be ready for the run-up to Christmas, a traditionally busy time of the year for the mobile phone outlets which offer mobile broadband contracts.

Commenting on the development, managing director Graeme Oxby told Mobile News: "It's been quite difficult to do much about mobile broadband; the new agreement changes that.

"It's a large part of our strategy for next year; joining mobile broadband to fixed broadband to complete our suite of services."

Virgin Mobile's rivals O2 already offers a fixed-line and mobile broadband bundle.

The provider includes a free home broadband connection for subscribers taking the £20 per month, 3Gb bandwidth cap, mobile broadband package.