
Charges cut for up to a million BT landline-only customers
27 October 2017
37% line rental cut for BT's landline-only customers after Ofcom review
Move will benefit thousands of elderly callers who don't have broadband
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%, 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%) of customers with only a landline are over 65, and more than three quarters (77%) 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.[1]
Around 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.
A further 200,000 customers on BT's Home Phone Saver' package will also be eligible. This group of customers can choose to stay on their current package, or move to the standard product being cut, depending on which is the best deal for them.[2]
If BT fails to honour its agreement, Ofcom will step in.
Jonathan Oxley, Ofcom's Competition Group Director, said: For many people, their landline is their lifeline.
But households who only have a landline and no broadband have seen their phone bills soar. Many are elderly, and have been with BT for decades. We've been clear that they must get a better deal. So I'm pleased BT has responded to our plans in full by cutting these customers' bills.
Left behindTelecoms providers must continue to up their game on service quality and too many customers still experience problems. But on the whole, customers who buy communications services in a bundle are getting more for their money, thanks to strong competition in the market. By contrast, landline-only customers have less choice, with a number of providers having withdrawn these products altogether.
Our analysis shows that all major landline providers have increased their line rental charges significantly in recent years by between 23% and 47% in real terms. This is despite providers benefitting from around a 27% fall in the underlying wholesale cost of providing the service.
Of the UK's 1.5 million landline-only customers, two thirds are with BT. This position has allowed BT to increase prices without much risk of losing customers, and other providers have followed BT's pricing lead. We expect BT's £7 price cut to mean other providers can follow suit.
Getting a better dealOfcom also wants to help people who buy a telephone service from one provider and broadband from another.
While the price cut will not apply to this group, the agreement requires BT to help these customers take advantage of the deals on offer in the market, by explaining that they could get a better deal if they purchased services as part of a bundle.
Separately, Ofcom is examining measures to help people shop around with more confidence, so they can take full advantage of the wide choice of competitive services.
We will continue to keep a close eye on the market, to ensure BT's actions address the problems we have identified. If we have any concerns about consumers or competition, we will consider the need for further intervention.
Addressing landline prices is the latest in a series of measures by Ofcom to help telecoms customers. We are also ensuring that people and businesses get better information on broadband speeds before entering a contract; and strengthening the general rules that all providers must follow.
ENDS
NOTES TO EDITORS
Under the agreement, BT cannot raise its line rental for landline-only customers before the price cut comes into effect in April next year. The agreed price cut will apply for three years from 1 April 2018, and during this period average prices for line rental, calls and ancillary services will be capped to inflation.
Home Phone Saver is a BT telephone only line rental package that bundles line rental, calls and additional features together in a package. As it offers a discount of up to £30 a month compared to purchasing the features individually at standard prices, many customers on this tariff could already be on the best deal for them, even after the price of the standard tariff is cut.
Add to Your Pages
Share on Facebook
Share on Twitter
Share on LinkedIn
Share on Google+
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
01/06/2026
January 6 2026, 05:30 (PST) Dolby Sets the New Standard for Premium Entertainment at CES 2026
Throughout the week, Dolby brings to life the latest innovatio...
02/05/2026
Dalet, a leading technology and service provider for media-rich organizations, t...
01/05/2026
January 5 2026, 18:30 (PST) NBCUniversal's Peacock to Be First Streamer to ...
01/04/2026
January 4 2026, 18:00 (PST) DOLBY AND DOUYIN EMPOWER THE NEXT GENERATON OF CREATORS WITH DOLBY VISION
Douyin Users Can Now Create And Share Videos With Stun...
28/02/2026
With two features seen in Formula 1 coverage, the broadcaster aims to bring view...
28/02/2026
Secretary of War Pete Hegseth addresses a crowd of approximately 1,500 L3Harris employees in Camden, Arkansas, as part of his Arsenal of Freedom tour....
28/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
28/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
28/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
28/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
28/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
28/02/2026
Berklee Presents Mambo Mania: Eguie Castrillo and the Berklee All-Stars Big Band...
28/02/2026
Berklee Announces Two New Summer Programs in Los Angeles The Berklee Music Business Program and Electronic Music Production and Sound Design Workshop bring imme...
28/02/2026
AI-RAN is moving from lab to field, showing that a software-defined approach is ...
28/02/2026
Autonomous networks - intelligent, self-managing telecommunications operations -...
28/02/2026
Back to All News
Final Trailer for BEASTARS Final Season Part 2' Roars Tow...
28/02/2026
New way to intentionally discover molecular glues could expand drug discovery Scripps Research scientists and colleagues show how drugs that eliminate certain d...
27/02/2026
The E.W. Scripps Company names Oliver Gray as Vice President, Network Sports and...
27/02/2026
The Gotham Sports App, the exclusive direct-to-consumer streaming home of MSG Networks and the YES Network, is now available for purchase through Prime Video fo...
27/02/2026
ESPN and the Horizon League announce a new multi-year, multi-platform media rights agreement, continuing a 38-year collaboration that began with the 1988 Midwes...
27/02/2026
At the 2026 NAB Show in Las Vegas, NETGEAR will highlight its new switch models and major updates to its Engage Controller software. The company's network d...
27/02/2026
Riedel Communications announces that Fondazione Teatro alla Scala has deployed a...
27/02/2026
Lyuno specializes in media localization, including translation, dubbing, subtitling, and voice-over services for a wide array of entertainment content. The comp...
27/02/2026
Chyron Weather 2.3, the latest edition of Chyron's weather visualization suite for broadcasters and meteorologists, recently launched.
The release includes...
27/02/2026
Telestream, which concentrates in media workflow technologies, announces expanded practical AI enhancements across its Vantage, Vantage Cloud, EDC, Stanza, and ...
27/02/2026
Horizon Sports & Experiences (HS&E), a global sports marketing, media, and live ...
27/02/2026
Legendary sports broadcasters Bob Costas, Doug Collins, Mike Czar of the Telest...
27/02/2026
Beginning on March 1st, IndyCar will be kicking off their 31st season on the str...
27/02/2026
In-venue and creative video staffers at the professional and collegiate level ha...
27/02/2026
Ratings Roundup is a rundown of recent rating news and is derived from press rel...
27/02/2026
Owl AI a pioneer in artificial intelligence for professional sports, announces a...
27/02/2026
With over 447 million fans in APAC, Formula 1 and beIN will continue to innovate...
27/02/2026
12-year-old Noelle Taylor will be the Kid Reporter when the Brooklyn Nets host t...
27/02/2026
Entire CapCam system - including camera unit, RF transmitter, and battery - is h...
27/02/2026
Since its inception, Gorillaz has been known for blending art with genre-bending...
27/02/2026
This week, Spotify introduced Audiobook Charts for the U.S. and U.K. The charts make it easy to discover your next favorite book by showing what's popular a...
27/02/2026
Rohde & Schwarz and Viasat to collaborate on NB-NTN IoT test plan for connectivi...
27/02/2026
In media technology, big features often steal the spotlight - AI integrations, cloud transformations, automation frameworks. But for the people who use these to...
27/02/2026
Digital Asset Management systems sit at the heart of most marcoms operations. They centralise content, organise it, and make it discoverable. Integrated with th...
27/02/2026
The AI Wild West comes to NAB 2026 and Blue Lucy is bringing the Sheriff
The AI Wild West is here, and media organisations are feeling the heat. On Booth W23...
27/02/2026
NEW YORK - February 26, 2026 - An estimated 32.6 million people watched President Donald J. Trump deliver the 2026 State of the Union address on Tuesday, Februa...
27/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/02/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
27/02/2026
Video is one of the lawyer's most powerful storytelling tools in civil litigation today, whether used to transport jurors to an incident scene or challenge ...
27/02/2026
Creative software developer Foundry today released Nuke 17.0, the latest version of its powerful compositing tool for visual effects and animation. Marking one ...