Elderly landline customers to benefit from BT price cut, says Ofcom

BT customers who buy only a landline telephone service will see their monthly bills slashed by £7 per month, following an Ofcom review.

The communications regulator represented a saving of £84 a year, or 37%, for up to one million of BT’s landline-only customers.

Ofcom said they have been getting poor value for money in recent years, compared to those who buy bundles of landline, broadband and pay television services.

It said almost two thirds of customers with only a landline were over 65, and more than three quarters had never switched provider.

“Ofcom has been concerned that telephone line rental prices have risen, despite wholesale costs falling,” the regulator said in its release.

“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 agreed to Ofcom’s proposal in full, and was reducing its monthly line rental price by £7 from April 2018 for customers who take only a landline from BT.

Ofcom said on top of the 800,000 customers who will receive the discount, a further 200,000 customers on BT’s ‘Home Phone Saver’ package could also be eligible.

It said that group of customers could choose to stay on their current package, or move to the standard product being cut, depending on which is the best deal for them.

“For many people, their landline is their lifeline,” said Ofcom’s consumer group director Jonathan Oxley.

“But households who only have a landline – and no broadband – have seen their phone bills soar.”

Oxley noted that 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.”