| BT
has accepted licence modifications which give effect to Oftel’s proposals
to extend retail price and network charge controls on BT’s services.
Price controls on BT’s retail services
have been extended for another year, from August 2001 to 31 July
2002.
The retail price controls, announced
in February, set a limit on price increases for certain BT retail
services. They are based on the expenditure patterns of the bottom
80% of residential customers.
The controls cover a basket of services
– access, local, national and international calls and operator assistance.
The control is set at RPI-4.5%.
In addition, BT has accepted Oftel’s
proposals for charge controls on its interconnection services from
1 October 2001. These controls are based on the extent of competition
in each market.
Full details of Oftel’s proposals are
set out in the Statement, Proposals for Network Charge and Retail
Price Controls from 2001, February 2001.
For further information please contact
Mike Galvin (tel: 020 7634 8869 / e-mail mike.galvin@oftel.gov.uk).

|