Ofcom move may cut broadband costs

broadband cable

broadband cableIt's not just energy bills which can pile pressure on our household budgets, with broadband and telephone costs also taking their toll.

Thankfully, it seems some of us might be in line to benefit from price reductions in the future, as a result of an Ofcom ruling.

The communications regulator has called on BT to reduce the amount of money it charges rival operators to rent its landlines.

From April, BT's wholesale network, Openreach, might be forced to reduce its charges by as much as 19% - significant savings no matter how much time you spend online or chatting on the phone.

And as well as offering a boost to the firm's rivals, the move could also have a positive impact on ordinary households. It is hoped that the likes of Sky and TalkTalk might pass on the reduction in costs to consumers.

However, in light of Ofcom's calculations, BT indicated that it might appeal the decision.

A spokesman from the company said: "Whilst the prices are within the range outlined by Ofcom in November, we disagree with some of the underlying assumptions that they have used to determine these charge controls.

"Our primary concern throughout this process is to ensure that we are able to achieve a fair rate of return in order to continue our investment in the future of the UK's communications infrastructure."

If you're keen to get a better deal on your broadband, check out this guide to switching providers.