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Charges cut for up to a million BT landline-only customers

by LLB Reporter
26th Oct 17 10:57 am

37 per cent line rental cut for BT’s landline-only customers after Ofcom review

BT customers who buy only a landline telephone service will see their monthly bills slashed by £7 per month, following an Ofcom review.

This represents a saving of £84 a year, or 37 per cent, for up to one million of BT’s landline-only customers.

They have been getting poor value for money in recent years, compared to those who buy bundles of landline, broadband and/or pay-TV services. Nearly two thirds (66 per cent) of customers with only a landline are over 65, and more than three quarters (77 per cent) have never switched provider.

Ofcom has been concerned that telephone line rental prices have risen, despite wholesale costs falling. Following a review of this market, we set out firm proposals to cut monthly bills for BT’s landline-only customers by between £5 and £7.

In response, BT has agreed to our proposal in full and is reducing its monthly line rental price by £7, from April 2018, for its customers who take only a landline from BT.

These landline-only customers – who currently pay £18.99 per month for line rental – will pay £11.99, reducing their phone bill by £84 a year. This 37 per cent reduction will return BT’s line rental for these households to a similar level to 2009.

At least 800,000 of these landline-only customers don’t have to do anything to claim this price cut – it will appear on their bills automatically. They will then be protected from real-term price increases, with line rental and call costs capped at the rate of inflation.

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