Oftel yesterday confirmed that it has launched an investigation
into the pricing of BT unmetered internet access packages,
representing the first formal competition enquiry into BT carried
out by the UK telecoms watchdog.
Oftel expressed concern that BT’s proposed BT Surf Together and
BT Talk and Surf Together packages could abuse the company’s
dominant market position, contrary to the Competition Act 1998.
On 2nd November, BT notified to Oftel a number of price changes
and new packages for residential customers, intended to come into
effect on 1st December. These included packages offering unmetered
voice and internet access calls.
This investigation by Oftel under the Competition Act is limited
to the pricing of the packages involving unmetered internet access.
Oftel said that it welcomes lower prices for consumers but that
consumers' interests are best served by effective competition and
so Oftel must ensure that these proposals from BT do not undermine
effective competition among rival ISPs.
