UK Telecom Watchdog Sets Out Proposals to Upgrade Broadband Networks

By Adria Calatayud

The U.K.'s telecommunications regulator, Ofcom, on Wednesday outlined a series of proposals to upgrade the country's broadband by encouraging competition to BT Group PLC's (BT.A.LN) network-infrastructure arm Openreach.

Ofcom said the proposals aim to support competitive investment in fiber networks, seeking to accelerate the U.K.'s transition to full-fiber broadband connections from copper. Fiber networks can deliver faster speeds than copper lines.

The regulator said its proposal seeks to improve the business case for fiber investment, by setting Openreach's wholesale prices in a way that encourages competition from new networks, as well as investment by BT's unit. Ofcom said its plan will also support investment by Openreach in rural areas and plans to close copper networks as full-fiber replacements are built.

Ofcom said its proposals also intend to make sure people can still access affordable broadband and prevent Openreach from stifling competition.

"These plans will help fuel a full-fiber future for the whole country. We're removing the remaining roadblocks to investment and supporting competition, so companies can build the networks that will drive the U.K. into the digital fast lane," Ofcom's Interim Chief Executive Jonathan Oxley said.

Ofcom's proposal will remain open for consultation until April 1 and the regulator plans to publish its final decisions in early 2021 before current rules expire in April 2021.

Write to Adria Calatayud at [e-mail]

(END) Dow Jones Newswires

January 08, 2020 02:41 ET (07:41 GMT)

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