Telecoms watchdog Ofcom is calling on all phone firms who have landline only customers to cut the cost of line rental after BT was stung into action. From Sunday, households who rely on traditional home phones and don’t have cheaper broadband, TV and phone bundles will see BT’s monthly charges plummet by 37% from £18.99 to £11.99. The changes will affect a million Brits - mostly the elderly and those on low incomes who are unable to take advantage of money saving technology packages. BT acted after a lambasting from the regulator which blasted it for “poor value for money” charges affecting those with the least cash. The Post Office was first to join the price war and will drop the cost of its landline only fees from £16.99 a month to £11.50 in May. Now Ofcom boss Sharon White is urging rivals Virgin, TalkTalk and Sky to follow suit and cut fees for those on fixed lines only. The tough talking chief executive said: “Consumers who depend on their landline phone have seen their bills soar while BT’s costs have fallen. That’s why we stepped in to bring prices down. And I am pleased that BT are now doing the right thing, cutting bills by £7 a month. “But we want to see the other landline providers follow BT again, as they’ve been doing in recent years when prices have gone up. “If we see consumers being ripped off, we won’t hesitate to step in.” The changes will save BT’s landline only customers - two thirds who are aged over 65 - £84 a year. And the telecoms giant has also agreed to cap line rental and call charges for three years so the price does not rise higher than inflation. Ms White said: “We’re also helping people who buy their landline and broadband separately. They could save money if they bundle these services. “We’ve secured a commitment from BT that it’ll write to these customers explaining that they could get a better deal with a bundle. We’re also doing our bit by arming consumers with the info they need to shop around with confidence.”
May. telecoms watchdog Ofcom is urging providers to cut the cost of line rental for households that use only a landline and do not subscribe to money-saving broadband, TV and phone bundles. While landline rental prices have risen for consumers, the costs to the provider have fallen, with the elderly and low-income households most likely to be out-of-pocket. BT is set to reduce its fees by 37% for landline-only customers, from £ 11.99 to £ 18.99 , while Virgin is calling on competitors Virgin , TalkTalk and TalkTalk to follow suit.