Statement issued by the Director General of Telecommunications

24 July 2001

Contents

Summary

Chapter 1 Background

Chapter 2 Responses to public consultation

Chapter 3 Conclusions and the licence modifications

Chapter 4 Consultation

Glossary

Appendix A Draft licence modification

Appendix B Licence condition deletions

Summary

S.1 Oftel published a Statement, Regulation of Premium Rate Services, in September 2000, in which it set out its decision to proceed with licence modifications intended to strengthen the regulatory regime in the premium rate market.

S.2 Oftel is now publishing a further Statement setting out its conclusions in the light of comments received to the previous Statement. The Director General of Telecommunications remains satisfied that extending the regulatory regime by modifying telecommunications licences is proportionate and appropriate regulation for the premium rate market, and that strengthening the regime is in the interests of the public and the premium rate market sector. Oftel therefore intends to proceed with the licence modification as outlined in its previous Statement.

S.3 However, while there was broad support behind the general intention of the previous Statement, a number of detailed comments were received about the proposed Controlled Premium Rate Services (CPRS) licence condition. There was particular concern that the attempt to link the definition to price would have the affect of unintentionally capturing services, which are not normally considered PRS.

S.4 It is not the intention of Oftel nor ICSTIS to include within the definition tariffs or services (such as numbers with prefixes starting ‘07’ and ‘08’) which do not require regulatory intervention within the context of this proposal. Accordingly, Oftel has revisited this definition in order to take account of concerns regarding its scope.

S.5 In the light of views expressed, Oftel has concluded that the most appropriate mechanism for restricting the definition of CPRS is to specifically exclude those services that properly fall within the definition of other numbering ranges. On this basis it is proposed to exclude those services with numbers starting with the prefix ‘07’ by reference to ‘Find-me-anywhere’ services being excluded from the CPRS definition. However, the only mechanism for determining ‘08’ services is through price and, for this reason, it is proposed to retain the mechanism whereby the Director General of Telecommunications determines the amount at which the service should be controlled. On balance, it is proposed that the definition be linked to calls which are tariffed at a price which exceeds the lowest price for a premium rate call from a fixed line (currently 10p).

S.6 It is also proposed that Chatline Services should always be treated as CPRS, irrespective of numbering range or price, but that services of a sexual nature should not always be treated as CPRS other than where such services exhibit the essential characteristics of CPRS (see paragraph 3.5 (a) and (b)). Services of a sexual nature that are not captured by the CPRS licence condition would, however, not be precluded from ICSTIS supervision.

S.7 This Statement invites further comments on the detail of the proposed draft CPRS licence condition, prior to statutory consultation taking place.

Chapter 1

Background

1.1 The background to this issue is covered in detail in Oftel’s previous Statement,

Regulation of Premium Rate Services, published in September 2000. Accordingly, the following is only a brief description of the background to this issue.

1.2 Premium Rate Services (‘PRS’) are special services commonly containing information or entertainment generally accessed by dialling or keying special telephone numbers (normally advertised on ‘090’ dialling codes). Customers pay for services and calls through their normal telephone bill. PRS are almost always more expensive than standard call tariffs. For this reason, since their introduction in the UK, PRS have been subject to certain safeguards.

1.3 The premium rate industry has, in the main, regulated itself through ICSTIS, the Independent Committee for the Supervision of Standards of Telephone Information Services. ICSTIS supervises the promotion and content of PRS on behalf of the telephone companies through two Codes of Practice – a ‘General Code’ which is a voluntary arrangement and covers most PRS; and a ‘Live Code’ which covers live PRS, and must be recognised by the Director General of Telecommunications. The small number of services (such as live conversation services) which fall within the Live Code are subject to regulation by Oftel, and are currently defined in the Telecommunications Act licences as ‘Controlled Services’.

1.4 The ICSTIS model of self-regulation has been historically successful. However, the market conditions in the Premium Rate industry have now changed, and these changes threaten to undermine the system of regulation. Five areas have been identified which together have the effect of threatening compliance with ICSTIS’ General Code:

• increased numbers of networks terminating PRS;
• changing nature of network operators;
• network operator/service provider combinations;
• network operator resistance to voluntary sign-up; and
• resistance to terms of ICSTIS agreement.

1.6 This Statement reviews responses to the public consultation on proposals to extend the definition of ‘Controlled Services’ in both the Telecommunications Act licences and the ICSTIS Codes, and invites further comments on the detail of the CPRS licence condition, prior to statutory consultation taking place.

1.7 Subject to further views on the detail of the CPRS licence condition, Oftel and the Department of Trade and Industry (DTI) will proceed with modifications to the relevant licence conditions. Along similar timescales, ICSTIS will make appropriate changes to its Codes of Practice, which will require formal recognition by Oftel. Oftel anticipates that the modified conditions could take effect by Autumn of this year. The following table outlines the expected timetable for the licence modification process:

Figure 1: Licence Modification Process – Indicative Timescales

1.8 Details on how to comment are explained in Chapter 4.

1.9 Comments are invited by 21 August 2001.

Chapter 2

Responses to public consultation

2.1 There were a total of 13 responses to the previous Statement. Eight of these were from network operators, two were from trade associations, two were from consumer bodies and one was from a service provider.

2.2 There was broad support behind the general intention of the licence modification, and that effective regulation of the premium rate industry is necessary in order to create a level playing field. However, there was less clear consensus about how, exactly, this should be achieved.

2.3 The following comments were made against the proposed licence modification:

Separately billed services

2.4 Few comments were received in relation to this issue. One respondent supported Oftel’s view that services which may seem similar to PRS but are not charged to customers via their telephone bills should not be controlled. Another respondent objected on the grounds that the amended regulatory regime could be circumvented by the migration of services onto ordinary telephone numbers and separate billing.

The price of PRS calls

2.5 The proposal to link the CPRS definition to calls that are charged at a price which is equal to, or exceeds, the lowest price for a premium rate call from a fixed line drew little support. There was concern that this threshold would unintentionally capture services that are not normally considered PRS, including mobile and national rate calls.

Services of a sexual nature

2.6 The only comment made in relation to services of a sexual nature was that there may be difficulty in obtaining consistent application, and that the definition in the revised Code of Practice may need expanding.

Revocation

2.7 One respondent expressed concern regarding revocation given the difficulty in uniquely defining types of service.

Exemptions

2.8 Few comments were received in relation to this issue although one respondent argued that this may not be the appropriate method for dealing with the issue, and that the definition must be tailored to aim the regulation at those services which justify regulation. A further respondent argued that it was unclear how the process would be implemented.

Chapter 3

Conclusions and the licence modifications

Principles

3.1 Regulation in the premium rate sector is required in order to ensure adequate standards are applied to premium rate promotions and services, and to secure the adequate protection of consumers from unexpected high bills.

3.2 Oftel’s principle is to keep the scope and level of regulation to the minimum necessary to obtain appropriate outcomes. Regulatory intervention should be proportionate and necessary to address market failure. Self- and co-regulation should be used, where possible.

3.3 The case for underpinning the self-regulatory regime, with effective powers affording Oftel the opportunity to intervene as a last resort, drew broad support from respondents. While it was noted that such an approach would extend the level of regulatory underpinning to the self-regulatory regime, this was viewed as necessary because of market developments and changes. Accordingly, in the light of the support to proceed towards licence modification, and extend the current methodology for underpinning the ICSTIS regime, Oftel confirms its position, detailed in its previous Statement, to proceed towards licence modification.

3.4 A number of detailed comments were received in relation to the proposed CPRS licence condition. For this reason, this Statement will concentrate on the definition of CPRS.

Controlled Premium Rate Services

3.5 The starting point in determining a suitable definition for CPRS is to identify those services that should be properly captured. There appears to be broad agreement that CPRS should include all services where the person paying for the service is billed for it through his telephone bill, and part of the overall charge is passed on by the licensee to the person providing the content, product or service. A more formal definition of this would be:

3.6 The only concern raised in relation to the above essential features was to do with the possibility of the amended regulatory regime being circumvented by the migration of services onto ordinary telephone numbers and separate billing. However, as discussed in the consultative document, Oftel and ICSTIS Joint Consultation Paper on the Regulation of Premium Rate Services, published in August 1999, in such a situation there would be no ‘premium’ or higher charge billed to the customer’s telephone account for calling these services; the content element of the call, product or service is billed by means other than the caller’s telephone bill. This payment mechanism, therefore, removes a key reason for regulation – high telephone bills and the risk of disconnection.

3.7 Nevertheless, Oftel will monitor any migration to such services, and will review the situation in consultation with other Government Departments in the event that such a development gives rise to significant consumer protection concerns.

3.7 The essential features of CPRS, as identified in paragraph 3.5 (a) and (b) above, provide a very wide-ranging definition. There are, for example, revenue sharing services which meet these basic criteria, but which may properly be carried on the ‘07’ or ‘08’. Accordingly, further consideration is required in order to determine the best method of restricting the definition so that only those services, which should be controlled, are included in any definition of CPRS.

3.8 Previously, Oftel has attempted to contain the definition of CPRS through reference to price. This has included attempts to link the definition to calls charged above the standard tariff for national calls and at a price equating to, or exceeding, the lowest price for a PRS call from a fixed landline. While there was agreement that price is a crucial determinant of whether a service should be controlled or not, there was concern that such an approach may unintentionally capture services which are not normally considered to be PRS. As a consequence, many respondents were unable to support this approach.

3.9 As indicated in its previous Statement, it is not the intention of Oftel nor ICSTIS to include within the definition tariffs or services (such as numbers with prefixes starting ‘07’ and ‘08’) which do not require regulatory intervention within the context of this proposal. Accordingly, in the light of views expressed, Oftel has revisited the definition of CPRS to address those concerns regarding its scope.

3.10 On balance, Oftel has concluded that the most appropriate mechanism for restricting the definition of CPRS would be to link this to numbering, where possible, with those services that properly fall within the definition of other numbering ranges (irrespective of having the essential features described in paragraph 3.5 (a) and (b) above) excluded from the definition of CPRS. However, while this is easily achieved with numbers starting with the prefix ‘07’, which can be defined by reference to ‘Find-me-anywhere’ services, there is particular difficulty in determining an appropriate definition for numbers starting with the prefix ‘08’.

3.11 The only mechanism for determining ‘08’ services is through price with, in particular, numbers starting with the prefix 087 designated in the current National Numbering Conventions as "up to national rate". This has been further clarified in the consultative document, Revising the National Numbering Conventions, published in February 2001, with 087 designated as "up to 10p or national rate". Accordingly, it is only possible to exclude such services through retaining the mechanism whereby the Director General of Telecommunications determines the amount at which the service should be controlled.

3.12 On balance, Oftel proposes that only calls which are charged at a price which currently exceeds the lowest price for a PRS call from a fixed landline (currently 10p) should be included in the definition of CPRS. In other words this definition will not capture those PRS services which are charged at a price point of 10p or below. The price threshold will be kept under review, and prevailing market conditions taken into account should a change be considered necessary.

3.13 Oftel has given consideration to the concern that the proposal to link the definition of CPRS to the price of calls from a fixed landline does not take account of the mobile sector, and that calls from mobiles to PRS may cost more than 10p and therefore be caught by the CPRS definition even though this may not be the case when making identical calls from a fixed landline. Oftel is aware of the issue and, given differences in costs of origination, agrees that such an outcome is likely. However, in Oftel’s view, the underpinning rationale for regulation in the premium rate sector is the adequate protection of consumers, irrespective of differences in costs of origination. Accordingly, the issue is the charge billed to the customers’ telephone account for calling these services and, in Oftel’s view, those services which cost in excess of 10p should be controlled.

3.14 The treatment of Chatline Services and services of a sexual nature also needs careful consideration. In Oftel’s previous Statement it was proposed that such services should always be treated as CPRS, irrespective of the numbering range or price. However, this view resulted in a number of concerns being expressed, particularly in relation to potential regulation of the Internet.

3.15 Oftel has given this matter further consideration and, is of the view that the provision that Chatline Services should always be treated as CPRS, wherever they appear, should be retained. In this regard, it should be noted that the proposed third issue of the National Numbering Conventions specifically excludes the promotion and access of such services outside ‘090’ codes (see Convention A9.4 of the consultative document, Revising the National Numbering Conventions, published in February 2001).

3.16 There are particular complications involved with services of a sexual nature, not least in relation to properly defining such services. There is, for example, difficulty in ensuring that services providing such content should be controlled and, as already indicated, this is an issue in relation to dial-up Internet Service Providers. This will be the case in those instances where dial-up services exhibiting the initial characteristics of CPRS (see paragraph 3.5 (a) and (b) above) allow customers to view a wide range of content via the Internet - including services that may be viewed as being of a sexual nature. Accordingly, the danger of defining CPRS through explicit reference to services of a sexual nature is that the result may well be regulation of the Internet. This is not the intention of either Oftel or ICSTIS.

3.17 Oftel notes that low-cost adult services only account for a small number of customer complaints at present and, on balance, considers that the pragmatic approach may be to remove reference to services of a sexual nature from the CPRS licence condition. This is Oftel’s preferred approach:

• services of a sexual nature that exhibit the essential characteristics of CPRS (see paragraph 3.5 (a) and (b) above) can only be provided using the ‘0909’ range, and will therefore be subject to co-regulation (ie Oftel has backstop powers afforded by the CPRS licence condition);

• services of a sexual nature that are not captured by the CPRS licence condition would not be precluded from ICSTIS supervision, and would continue to be subject to self-regulation (ie there would not be resort to Oftel backstop powers afforded by the CPRS licence condition).

3.18 The proposed CPRS licence condition achieves the maximum possible overlap with the wording of the National Numbering Conventions and the ICSTIS codes of practice in order to ensure a consistent approach to regulation in this area.

Anticipated outcome of the proposal

3.19 This is addressed in detail in Oftel’s previous Statement. The proposed changes will have no impact on responsible PRS service providers and network operators given that they do not extend ICSTIS’ regulatory range. Rather, the proposed changes will merely extend the definition of CPRS thereby ensuring that Oftel has backstop powers of intervention should ICSTIS request this in the event that the current voluntary regime of regulation has no impact on a licensee.

Chapter 4

Consultation

The closing date for comments on this document is 21 August 2001. This is because this Statement does not raise any new general policy issues, and the fact that Oftel began consultation on this back in August 1999 and then subsequently in September 2000. Oftel regards this simply as a further opportunity to ascertain whether stakeholders still have particular concerns on matters, such as the proposed CPRS definition, before proceeding with statutory consultation under Section 12 of the Telecommunications Act 1984.

Josephine Ibegbuna
Regulation of PRS Consultation
Numbering Unit
Oftel
50 Ludgate Hill
London, EC4M 7JJ

Tel: 020 7634 5303
Fax: 020 7634 8784

e-mail: josephine.ibegbuna@oftel.gov.uk

Confidential responses should not be sent via the Internet. Written comments will be made publicly available in Oftel’s Research and Intelligence Unit except where respondents indicate that the response, or parts of it, is confidential. Respondents are therefore asked to separate out any confidential material into a clearly marked annex. In the interests of transparency, respondents are requested to avoid confidential markings wherever possible. Appointments to view written comments in Oftel’s Research and Intelligence Unit must be made in advance (tel: 020 7634 8761, fax: 020 7634 8946).

Internet

This document is available on Oftel’s website at www.oftel.gov.uk. Oftel would like to set up a link between this document and any responses placed on respondents’ own Internet pages. Please contact Jo Hamilton at Oftel on 020 7634 8755 or by e-mail at web.oftel@gtnet.gov.uk to arrange this.

Oftel has a free e-mail based mailing list to help people stay informed about the work that Oftel is doing. Each time an Oftel document is published and placed on Oftel’s website at www.oftel.gov.uk, subscribers to the list receive an e-mail informing them about the document. To register, please go to the What’s New section of the website and link to the electronic form.

Alternative formats

Copies of this consultation document are available on disk. Accessible formats such as large print, Braille and audio cassette can be made available on request.

Please contact the Oftel Research and Intelligence Unit on 020 7634 8761 or by e-mail at infocent@oftel.gov.uk for more information.

The consultation criteria

Oftel considers that this document meets the Cabinet Office code of practice on written consultation documents. The code is reproduced below for convenience. If you have any comments or complaints about this consultation process please contact:

Oftel Co-ordinator for the code of practice:

Robert Jex
Oftel
50 Ludgate Hill
London EC4M 7JJ,

e-mail: rob.jex@oftel.gov.uk

tel: 020 7634 5340
fax: 020 7634 8943

1) Timing of consultation should be built into the planning process for a policy (including legislation) or service from the start, so that it has the best prospect of improving the proposals concerned, and so that sufficient time is left for it at each stage.

2) It should be clear who is being consulted, about what questions, in what timescale and for what purpose.

3) A consultation document should be as simple and concise as possible. It should include a summary, in two main pages at most, of the main questions it seeks views on. It should make it as easy as possible for readers to respond, make contact or complain.

4) Documents should be made widely available, with the fullest use of electronic means (though not to the exclusion of others), and effectively drawn to the attention of all interested groups and individuals.

5) Sufficient time should be allowed for considered responses from all groups with an interest. Twelve weeks should be the standard minimum period for consultation.

6) Responses should be carefully and open-mindedly analysed, and the results made widely available, with an account of the views expressed, and reasons for decisions finally taken.

7) Departments should monitor and evaluate consultations, designating a consultation co-ordinator who will ensure that all the lessons are disseminated.

Glossary

Call barring: The ability to programme a Public Switched Network access line so that outgoing calls to certain related groups of numbers such as special charge rate, international or mobile services cannot be made.

Calling Line Identification (CLI): A facility that enables identification of the number from which a call is being made.

Chatline: A service which allows more than two persons simultaneously to conduct a telephone conversation with one another and where the persons concerned are normally strangers to each other to begin with.

Controlled Premium Rate Services: Those premium rate services defined in the proposed licence modification as being subject to controls.

Controlled Services: Those premium rate services which are currently defined in licences as being subject to controls. They comprise chatlines and live conversation services.

International Simple Voice Resale (ISVR): An international service provided by an operator to customers using the international facilities owned by other operators. In the case of an outgoing call, the operator collects traffic from the public telecommunications network, transfers it to a line leased from a facilities operator, and then hands it over to a Public Telecommunications Operator in an overseas country who will deliver the call to its destination. It therefore involves breakout onto the public telecommunications network at both ends, but with the international leg of the call being carried on leased circuits. ISVR traffic bypasses the accounting rate system.

Internet: a global network of networks, mainly narrowband, accessed by users with a computer and a modem via a service provider.

Live Conversation Services: A definition of the group of premium rate services which includes the provision of live telephone conversation either between the provider of the service and the caller or two callers to the provided service.

National Numbering Conventions: The rules by which numbers are allocated.

Premium Rate Services (PRS): Services, including recorded information and live conversation, run by independent service providers. All calls to these companies are charged at a higher rate than ordinary calls to cover the companies’ costs in providing the content of the call and the operator’s cost for the special network facilities needed.

Public Telecommunications Operator (PTO): A PTO is a network operator providing services to the public designated by the Secretary of State for Trade and Industry under section 9 of the Telecommunications Act 1984 as having a Pubic Telecommunication System and who is subject to the obligations in section 8 of the Act.

Service Provider: Provider of telecommunication services, or services with a telecommunication service component, to third parties whether over its own network or otherwise.

Telecommunications Services Licence (TSL): A class licence under which individuals can offer certain telecommunications services including a private payphone service. The licence authorises the connection of up to 20 sites by self-provided lines, or an unlimited number by leased lines.

Appendix A

Draft Licence Modification

Condition [22/26]

CONTROLLED PREMIUM RATE SERVICES

22.1 The Licensee may only provide a Controlled Premium Rate Service in whole or part by means of the Applicable Systems (whether or not Messages comprised in, or resulting from the provision of, such Services, have previously been, or are subsequently conveyed by, any other public telecommunication system) where the Relevant Condition is satisfied.

22.2 The Licensee may only provide a telecommunication service to another person by means of the Applicable Systems by means of which that person, to the knowledge of the Licensee, provides a Controlled Premium Rate Service (whether or not Messages comprised in, or resulting from the provision of, such Services have previously been, or are subsequently conveyed by, any other public telecommunication system) where the Relevant Condition is satisfied.

22.3 The Relevant Condition is that there is in effect at the time the Controlled Premium Rate Service concerned is provided, a code of practice governing the provision of such a Service, which has been recognised by the Director for the purposes of this Condition after consultation with the Licensee and with any body which he considers to be representative of those wishing to provide such Services.

22.4 A code of practice shall only be recognised for the purposes of paragraph 22.3 if the Director is satisfied that:

1. its provisions are capable of properly regulating the provision of the Controlled Premium Rate Services to which it relates and, without prejudice to the generality of the foregoing, which provisions may include making adequate provision for compensating those who suffer as a result of the provision of such Services or any description of such Services; and
2. adequate arrangements have been made for the constitution (including the arrangements for the funding) of a body of persons to apply and administer the Code (referred to in this Condition as "the Body applying and administering the Code").

22.5 A code of practice is recognised for the purposes of this Condition where it is specified as such in a determination made by the Director, and the Director may, at any time after such a code is recognised and after giving not less than one month’s notice in writing of his intention to the Body applying and administering the Code, determine that its recognition be revoked if he is satisfied that its provisions are not capable of properly regulating the provision of the Controlled Premium Rate Services to which it relates, or that it is not being properly applied and administered (whether, without prejudice to the generality of the foregoing, due to lack of funding or otherwise).

22.6 For the purposes of this Condition, the Director may recognise a code of practice in relation to any description of Controlled Premium Rate Service or to all Controlled Premium Rate Services, and the provisions of this Condition shall apply accordingly.

22.7 If:

the Director may direct the Licensee to cease to provide, or, as the case may be, not to provide that person or any other person with any service facilitating or enabling the provision of the relevant Controlled Premium Rate Service or Services or, as the case may be, itself cease to provide, or, as the case may be, not to provide the relevant Controlled Premium Rate Service or Services.

22.8 The Director may determine, subject to such conditions as he thinks fit, that:

and where a determination of the kind specified in sub-paragraph (b) above is made the provisions of this Condition shall apply to such a Service from the date specified in the determination.

22.9 For the purposes of ascertaining whether a service is a Controlled Premium Rate Service, the Director shall determine, from time to time, in accordance with the procedure set out in paragraph 22.10 below, an amount for the charge of the Call by means of which the service is obtained or the rate according to which such Call is charged or both which, when exceeded, means that sub-paragraph 22.11(a)(iii)(A) of the definition of Controlled Premium Rate Services is satisfied. In making such a determination, the Director shall have regard to the prevailing standard rates for premium rate calls of the Licensee and other licensed operators providing Controlled Premium Rate Services from time to time.

22.10 Where a determination is made pursuant to paragraph 22.9, the procedure shall be as follows:

22.11 In this Condition:

1. the Service is a Chatline Service.

22.12 An International Call which terminates on a telecommunication system outside the United Kingdom is not a Controlled Premium Rate Service. For the purposes of this Condition, an "International Call" means the conveyance of any Message by means of the Applicable Systems which has been, or is to be conveyed, by means of any telecommunication system outside the United Kingdom but, for the avoidance of any doubt, an International Call does not include any call terminated on a telecommunication system within the United Kingdom.

22.13 The Licensee shall allocate Numbers to Controlled Premium Rate Services which it provides in accordance with this Condition in accordance with the National Numbering Conventions published by the Director in accordance with paragraph 26.5(a) of this Licence.

Condition [23/27]

PROVISION OF SPECIAL FACILITIES RELATING TO CHATLINE AND MESSAGE SERVICES

23.1 The Licensee shall comply with any direction made under this paragraph which requires the Licensee to make available such of the facilities listed in paragraph 23.2 as are specified in the direction. A direction under this paragraph shall be made by the Director after consultation with the Licensee, and shall specify only facilities which the Director considers it will be technically and economically practicable for the Licensee to provide. The direction shall specify the date by which each facility is to be provided and the class or description of customer (whether described by reference to area or otherwise) to whom it is to be provided and shall be subject to such conditions as the Director thinks fit.

23.2 The facilities referred to in paragraph 23.1 are:

23.3 The services to which this Condition applies are those Chatline Services and Message Services in respect of which:

1. the person providing the service obtains the whole or any part of his revenue from the Licensee (or, where that person is the Licensee, that part of the Licensee’s business which provides the Service is credited with revenue from that part of its business which conveys the Messages comprised in, or resulting from the provision of, the Service); and
2. the person responsible for paying the charges for the telephone calls by means of which the Service is obtained is billed by means of his telephone bill for any amount in respect of the provision of the Service.

4. In this Condition, a "Chatline Service" and a "Message Service" have the respective meanings given to those terms in Condition 22.

Appendix B

1. The following definitions in paragraph 1 of Part 1 of Schedule 1 of the licences specified below shall be deleted in their entirety from such licences at the same time as the proposed licence modifications (set out in Appendix A) are made:

• Chatline Service
• Controlled Service
• Live Conversation Message Service
• Message Service

2. The licences for purposes of paragraph 1 above are:

1. licences granted by the Secretary of State for Trade and Industry under section 7 of the Telecommunications Act 1984 which have incorporated the so-called Standard Schedules, as set out in the Telecommunications (Licence Modification) (Standard Schedules) Regulations 1999 (S.I. 1999 No. 2450);
2. the class licence to run branch systems to provide international simple voice resale services granted by the Secretary of State for Trade and Industry under section 7 of the Telecommunications Act 1984 on 1 November 2000; and
3. the class licence to run branch systems to provide telecommunications services granted by the Secretary of State for Trade and Industry under section 7 of the Telecommunications Act 1984 on 9 April 2001.