In the consumer broadband market, for example, we continue to make broadband as attractive as possible to as many people as possible, through a coherent suite of products, innovative content, applications and value-added services.

During the year, we launched BT Broadband, which offers straightforward, high-speed broadband internet connection. Our BT Openworld service, on the other hand, offers a broadband line, plus a value-added service package, which includes webspace, e-mail, protection against viruses and unsolicited e-mails and access to a wide range of content. And BT was approved as an ADSL supplier for Microsoft’s Xbox Live and Sony’s PlayStation 2 online games services.

During the year, 140,000 customers signed up for BT Together’s new international options package, which offers 5p per minute flat-rate international calls to 13 destinations. And, in April 2003, we announced a radical pricing change for all BT Together’s ten million customers. From 1 June 2003, they will see the end of per-minute charging on all evening and weekend voice calls and, on the basic BT Together package, will pay just 6p for up to an hour’s conversation. Other packages will be introduced which will give unlimited free calls (up to one hour per call) for a higher monthly fee.

For those customers who want to get the most out of home computing, we’ve launched BT Home Computing, which takes the hassle out of getting online by helping customers choose the right broadband-ready PC and then providing the ongoing advice and support they need.

We are active in the mobile communications market. In October 2002, we launched Mobile Sense, enabling customers to select their own call package online and, in February 2003, formed a partnership with T-Mobile (UK) to provide a consumer-led mobile service from summer 2003.

The installation of the first 122 live BT Openzone wireless local area network (wi-fi) hotspots in stations, airports, hotels and service stations around the UK offers business people the chance to carry out high-speed transactions while on the move. This is scheduled to rise to 400 by summer this year as part of our drive to have 4,000 hotspots in place by summer 2004.

And, in January 2003, we became the first telecommunications company to cap the cost of business calls when we launched BT Business Plan, setting a ceiling of 10p on local and national business calls - provided only that they last less than an hour.

We supply ICT (information and communications technology) solutions to major corporate customers and manage some of the data networks of the UK’s top banks.