UK cellcos in tariff spat

23 Jul 2004

BT Group, T-Mobile UK and Orange are rumoured to be at loggerheads over the setting of future mobile termination rates, which are due to be lowered on 1 September under legislation introduced earlier this year by the regulator Ofcom. Under the rules, T-Mobile UK and Orange are required to reduce average termination rates from GBP0.095 per minute to GBP0.0631 per minute. The operators claim to have complied with the request by reducing daytime and evening rates. However, according to a report in the Independent newspaper, T-Mobile has increased the charges by 86% on Saturdays and Sundays, while Orange has increased them by 28%.

BT has reacted angrily to the revelation, with managing director Gavin Patterson saying ‘while obeying the letter of the law they are not really following the spirit of the law by hiking prices at the weekend when lots of people use their mobiles.’