Ofcom announces new charge controls for mobile operators

27 March 2007

In a move which Ofcom believes will offer consumers "significant savings" over a four-year period, the regulator is to impose new charging controls which will limit the amount mobile phone operators can charge other telephone companies for connecting calls on their networks.

By reducing, on average, the amount UK operators charge each year from £900 million to £400 million, Ofcom believes that significant savings will be able to be passed on to telecoms customers.

All of the major operators are to be affected by the new ruling, with 3 to become subject to charge controls of 5.9 pence per minute and wholesale charges of Vodafone, O2, Orange and T-Mobile will be reduced to 5.1 pence per minute.

Speaking to the Dow Jones Newswires, a spokesperson for Ofcom commented: "It's a big plus for consumers. If you're phoning a friend on a 3G network then you will be saving a lot of money."

While this is good news for consumers making calls from one mobile network to another, those calling a mobile from a fixed landline phone are likely to feel the financial benefits most as it will become less acceptable for telecommunications companies to charge higher rates for these calls.

What tariff should you choose? Pay As You Go or contract? Find the best tariff for your budget. uSwitch.com can search available deals and find the one best suited to you. Compare mobile deals and switch online for free.

© 2008 Adfero Ltd

Content for the uSwitch.com market news service is provided by a third party, Adfero Ltd. Whilst uSwitch.com makes reasonable efforts to check the reliability of this content, uSwitch.com does not guarantee the accuracy thereof or endorse the views or opinions given by Adfero Ltd, unless expressly stated otherwise.