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Broadband costs could fall by nearly 15 per cent below inflation for three million homes under new proposals from communications regulator Ofcom.
Ofcom is suggesting that in areas where broadband infrastructure is solely provided by BT Wholesale, prices should be cut by between 10.75 per cent and 14.75 per cent below the rate of inflation. The measure is an acknowledgement that, in rural areas, competition has not driven prices down.
Ofcom says the new pricing could benefit nearly 12 per cent of UK households, mostly in rural areas including parts of Scotland, Wales and Northern Ireland as well as the South West of England, Norfolk, Yorkshire, Cumbria and Northumberland.