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Households are paying 50 per cent less for bandwidth than they were three years ago, it has been reported.

According to a new report from Point Topic, increased competition between internet service providers has led to consumers getting better value for money than in 2008.

"Competition between operators and access technologies is driving the search for more markets and DSL is well placed to capture customers who don't need full speed 24/7 bandwidth," the company claimed.

Point Topic noted that many users do not use their broadband for more than a couple of hours a day, and consequently care much less about cost per Mb, where fibre broadband offers the best deal.

The analyst said consumers are most concerned about upfront and monthly charges when taking out a broadband package, and "DSL wins that battle hands down".

According to the International Telecommunications Union, which works on behalf of the United Nations, there were 2.08 billion web users worldwide at the end of 2010.

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