11 April 2007
BT has confirmed that from May 1st the price of its wholesale broadband products will be reduced.
Reductions were first proposed last November and should ensure that UK broadband services are competitive, with the potential for many broadband consumers to see savings.
The changes will mean that service providers using BT Wholesale's BT IPstream will see monthly rental charges falling by 9% from £8.40 per line per month to £7.63.
Furthermore, there will be an increase in the level of the rebate for service providers at high density exchanges, from £1.10 to £1.24, not to mention an increase in the number of exchanges covered from 561 to 1,016.
Cameron Rejali, Managing Director for Products and Strategy at BT Wholesale, commented: "The new pricing will deliver significant cost savings to our service provider customers and underlines BT's commitment to maintaining a competitive broadband market."
Mr Rejali added that service providers should be able to take advantage of higher broadband speeds - up to 24Mbps - early next year as part of BT's 21CN roll-out.
"We will shortly start preparing our exchanges to support the delivery of these higher broadband speeds," he confirmed.
A recent Ofcom report found that more than half of all homes in the UK are now signed up to a broadband service
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