UK broadband deregulation approved

Friday 15 February 2008

The European Commission has passed approval over proposals by Ofcom to deregulate parts of the UK broadband market where there is a good level of competition between ISPs. Viviane Reding, EU Telecoms commissioner aired her views that she hoped other member states would take a similar approach and build up strong market competition in their own countries.

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In a statement confirming the acceptance of proposal from Ofcom, the European Commission said: "The Commission confirmed that Ofcom's proposals for regulating this sector are consistent with the rules set out in the EU framework - and that the decision to tailor regulation to local competitive conditions through the identification of sub-national markets is justified. Ofcom's proposals include the removal of regulatory obligations in areas of the country where strong competition is now a reality, in keeping with its commitment to regulate only where it is necessary. The area covered by this proposed de-regulation accounts for approximately 65% of UK premises" Widespread concern is now being expressed among broadband consumers that the lack of rules imposed on ISPs could mean that different subscription prices could be enforced on different areas in the country.