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Proposed restrictions on the profits BT can make on its wholesale broadband network could potentially impact on the pay-TV sport market.

As suggested in the Guardian, tighter controls on the charges faced by broadband providers using BT's network may limit the company's financial clout when bidding for major sports rights.

BT is widely expected to challenge Sky for Barclays Premier League football rights at the next TV auction, having successfully entered this market in 2013-14.

Sky showed 116 live games last season, compared to BT's 38. With the latter eager to ramp up its top-flight football coverage, the stakes are set to be raised in the next bidding process.

But will this still be the case if BT's wholesale revenues take a hit? 

James Barford of Enders Analysis claimed a cap on wholesale broadband charges would be "a watershed" for the subscription sport industry.

"It discourages BT from spending a lot more money in any future auction, including the Premier League," he stated.

"From Sky's perspective this is excellent news. TalkTalk is very pleased because it gives some comfort that BT will stay honest."

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