Ofcom starts review of WLR, LLU charge controls

2 Dec 2010

UK telecoms regulator Ofcom is currently undertaking a review of charges for local loop unbundled (LLU) and wholesale line rental (WLR) services, the Wall Street Journal reports. With existing price controls for both services due to expire on 31 March 2011 it is understood that the watchdog will not complete its examination of the charges until after that date; it noted that the delay stemmed primarily from an appeal against the current controls which was not finally resolved until last month. Openreach, the arm of fixed line incumbent BT tasked with overseeing the operator’s infrastructure, has reportedly written to Ofcom with a voluntary commitment to fall in line with pricing limits for both LLU and WLR services calculated using financial modelling previously set out by the regulator. The network unit said it would comply with such charges from 1 April 2011 until the start of new controls, or until 31 March 2012 if new controls are not in place by that date. In response, Ofcom has told Openreach it does not intend to impose charge controls for the interim period between 1 April 2011 and the time at which it concludes its review of WLR and LLU charges.

United Kingdom, BT Group (incl. Openreach), Ofcom