Ofcom suggests price cut for Cumbrian broadband

Broadband costs in Cumbria could be cut by around 15 per cent under new proposals from communications regulator Ofcom.

Ofcom is suggesting that in areas such as Cumbria where broadband infrastructure is solely provided by BT Wholesale, prices should be cut by between 10.75 per cent and 14.75 per cent.

BT has responded cautiously by saying it understood Ofcom's movites in suggesting a rural broadband pricing control, but warned that it should not deter investment.

"It is key that the details strike the right balance between control and incentives to invest in rural areas," a spokeswoman said.

"As the UK's main investor in rural broadband, we will engage fully in the consultation process which follows to make our case."

Ofcom says the new pricing could benefit nearly 12 per cent of UK households, mostly in rural areas including parts of Scotland, Wales and Northern Ireland as well as the South West of England, Norfolk, Yorkshire, Cumbria and Northumberland.

The regulator claims its proposed charge controls could narrow the difference between prices that consumers in rural and urban areas are paying for broadband services.