Mobile Call Termination

Mobile Call Termination

Issued November 22, 2006

Executive Summary

In setting mobile termination rates, Ofcom has a duty to strike a balance between the interests of the mobile operators, which are entitled to recover all the costs they reasonably incur in terminating calls on their networks, and the interests of ordinary phone users, who are entitled to be charged no more than these reasonably and efficiently incurred costs.  BT believes strongly that the proposals in the Consultation Document get the balance wrong, with the result that users of fixed phones in particular will be significantly over-charged.

Such an unwarranted transfer from ordinary fixed phone users to the mobile network companies cannot be allowed to go unchallenged and deserves to be subject to much more open and public debate than has so far happened. 

It must not be forgotten that this is a service not subject to the normal constraints of competition, and is therefore one that consumers must rely wholly on the regulator to ensure a fair outcome.  There is an overwhelming case for Ofcom to reconsider whether this is indeed a just settlement for UK consumers. 

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Download Annex B of response 

BT would welcome comments on this response. Comments should be sent by e-mail to alun.banner@bt.com.