Landline rental reduction on the cards?

9 November 2005

Ofcom is pressing for the cost of fixed landline rental to be cut, according to reports.

The BBC says that, in what would be a boost for home phone users, the regulator is requesting that BT slashes its monthly wholesale line rental (WLR) for residential customers from £8.74 to £8.39 a month.

Business customers would also receive a significant reduction, amounting to eight per cent, with monthly costs being cut from £9.95 to £9.17.

WLR for residential users has already seen one significant cut this year, with a reduction from £9.24 having been made in August. It is anticipated that the reduced costs would ultimately have a knock-on effect for customer bills.

Telecoms organisations are asked to provide Ofcom with their views on the proposed cuts by December 12th.

Reductions might act in the interests of landline providers, who are seeing much of their business taken up by the increasing preference for internet and mobile phone services.

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