U.K. Regulator Reduces Narrowband Telecom Regulation

LONDON--The U.K. Office of Communications, or Ofcom, said Thursday it is proposing to "significantly" reduce the wholesale regulation that it applies to telecommunication providers in so-called narrowband markets, which underpin the delivery of retail fixed voice telephone services in the U.K.

In particular, it said for these markets--which involves signals over a narrow range of frequencies--it proposes to remove regulated cost-based charge controls imposed on BT Group PLC (BT.A.LN) for wholesale fixed telephone lines and calls.

It also proposes to remove regulation from the new supply of digital voice lines, but retain regulation to protect existing business consumers of these services. It also proposes to remove the 'no undue discrimination' regulation, which currently restricts the terms upon which BT can sell wholesale call origination to competitors.

"The retail market has worked well for customers buying bundles of voice and broadband. But Ofcom is concerned that competition is not benefiting a significant minority of consumers who purchase a fixed telephone service but do not take broadband," it said in a statement.

Separately, it announced a separate review into a retail market for standalone landline telephone services. It expects to publish a consultation in the new year.

 
--Write to Simon Zekaria at [e-mail] 
 

(END) Dow Jones Newswires

December 01, 2016 04:41 ET (09:41 GMT)

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