BORDERS MP Michael Moore has commended Ofcom’s decision to reduce BT rental charges to internet service providers (ISPs) in rural areas which could see Borderers benefitting from cheaper broadband.
Currently, in small rural telephone exchanges, where it might be uneconomical for ISPs to provide their own equipment they rent from BT, which can add around £10 a month to broadband bills.
Ofcom’s decision will reduce rental costs charged by BT by around 12% per year from this August .
It is expected to generate more competition between ISPs and lead to cheaper retail prices for consumers. The changes may also lead to better quality services as ISPs use the money they save to allocate more bandwidth per customer, delivering faster broadband services.
Mr Moore said: “Any reduction in price and improvement in broadband services is welcome news for Borderers and I am pleased that this decision will hopefully promote more competition among service providers, giving local people a fairer deal.
“I have campaigned for many years for fast and reliable broadband because, as markets become increasingly internet-based, it is absolutely essential for our local businesses and communities.
“Over recent years we have seen gradual improvements to broadband provision in the Borders and, although this decision only affects broadband services of up to 8Mbps, it is a step in the right direction.
“I am continuing my work with Scottish Borders council on their bid for the next round of UK Government funding which will see rural communities all across the nation gaining access to superfast broadband.”