BT broadband has cut the price of its Option 1 deal and has extended a promotion on its new Talk & Surf Plus home telephone and broadband package.

For a limited period, Option 1 will be priced £7.99 for three months and £15.99 per month thereafter when subscribers opt for an 18-month contract. This entitles customers to a broadband connection speed of up to 20Mb and a monthly usage limit of 10GB.

Around-the-clock customer support is also included with the deal, as is online security and parental controls and a free, award-winning BT Home Hub wireless router.

According to BT, the special offer “effectively gives customers their UK calls free, as the price is the same as the usual cost for just the broadband”.

John Petter, Managing Director of BT’s Consumer division, said: “We wanted to give our customers a great seasonal sale and to promote our all-in calls package. Over the last 12 months, 3.6 million of our customers have moved to calls packages, where you don’t pay for every call.

“Offering a bundle of broadband and anytime calls for this knockdown price will launch us into the bundles market as an unrestricted competitor for the first time. There will be many more bundled offers to come and customers can only benefit.”

To coincide with the revamped entry-level broadband package, BT has also confirmed that its incentive on the Talk & Surf Plus deal will be extended until March 23rd.

Until this time, new and existing BT customers will be able to sign up for the broadband bundle over an 18-month contract for just £7.99 for the first three months and £15.99 thereafter. Like Option 1, Talk & Surf Plus features a headline broadband speed of up to 20Mb, a monthly download limit of 10GB, free customer support and security and a BT Home Hub.

However, subscribers also benefit from unlimited UK anytime calls, inclusive 0845 and 0870 calls as well as the option to use BT Answer 1571 voicemail and add a range of other calling features to their line.

Promotions are also currently running on a host of other BT broadband, calls and TV bundles during March, with eye-catching price points for the BT Talk and Surf, BT Talk and Surf Unlimited, Talk, Surf & Watch, BT Talk, Surf & Watch More and BT Talk, Surf & Watch Unlimited packages.