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Increased competition 'creating telecoms price war'

Increased competition 'creating telecoms price war'Growing competition between communications providers in the UK is creating more opportunity for the customer, new research has claimed.

Industry regulator Ofcom's annual report on BT Group states that prices are falling across the country's fixed voice and broadband markets, as telecom firms fight to retain customers and win new business in an increasingly crowded marketplace.

According to the findings, prices for broadband services with headline speeds of 8mbps dropped from up to £30 per month to just £10 per month from 2005 to 2006, CBROnline.com reports.

In addition, an increased number of providers are now offering deals, such as combined broadband and telephone packages, which "bundle" different services together.

"The UK now has one of the most competitive markets anywhere in the world," Ofcom chief executive Ed Richards said.

Ofcom recently announced plans to auction another radio spectrum in the new year, which could be used to bring improved wireless broadband provision to the UK.

While most telephone companies charge extra for premium features such as call waiting and caller display, with Vonage these features come as standard.
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