Review of the market for standalone landline telephone services
Launch date:28 February 2017
Modified at:02 March 2017
We are consulting on our review of the retail market for standalone landline telephone services, that is the sale of telephone services to those people who buy such services in a standalone contract and not as part of a bundle with other services such as broadband or pay-TV. This affects around 2.9 million households in the UK.
The review was prompted by concerns over rapidly rising prices for these services, despite falling wholesale costs suggesting that these customers have not benefited from competition in the same way as those buying bundles.
We consider whether we can define a distinct market for such services and whether in this market there is one or more companies with significant market power, i.e. that they are able to act without sufficient constraint from competitors.
We provisionally conclude that there is a distinct market, with BT holding significant market power and we set our proposal to address this. We will take all responses to this consultation into account before reaching our final conclusions which we plan to publish in a statement at the turn of the year.