Review of Openreach’s charges
Ofcom today set out a review of the prices that BT Openreach can charge communications providers for its wholesale access telecoms services.
The review is designed to sustain and promote efficient competition in the provision of telecoms services for the benefit of UK citizens and consumers whilst continuing to encourage investment and innovation.
Openreach was created in January 2006 after Ofcom accepted legally-binding Undertakings from BT Group plc, rather than referring the company to the Competition Commission. This resulted in the creation of Openreach as an operationally separate business unit which provides wholesale access telecoms services to all communications providers on an equivalent basis.
When Openreach was created, Ofcom agreed the maximum prices that it could charge for its main services. These charges did not include an annual adjustment for inflation or other cost movements. At the time Ofcom said it would review the charges in the future and today’s publication marks the start of the review.