East Yorkshire MP Greg Knight has welcomed the announcement by Ofcom that BT must cut the wholesale price it charges other internet providers in rural areas.
Mr Knight said: ‘In many rural telephone exchanges, BT is the only operator, and Internet Service Providers have to rent equipment from them. This can indirectly add as much as £10 to the typical monthly bill. Allowing for inflation, BT will now have to cut its wholesale prices by 12%. This will significantly reduce the price of broadband in rural areas for small providers.’
Mr Knight added: ‘I am pleased that Ofcom has recognised the unfair monopoly at some rural telephone exchanges. BT has been charging small internet service providers high rates to provide broadband to rural areas. This obviously forces them to pass on the costs to their customers. Ofcom’s announcement today is a step in the right direction.’
‘I will continue my campaign to make sure all residents of East Yorkshire have access to good-value, high-speed broadband. Geographical isolation should not mean digital isolation.’