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Ofcom rules BT must legally split from Openreach

The ruling comes from telecoms regulator, Ofcom who have ordered BT to legally separate from its Openreach division, which fundamentally runs the UK’s broadband infrastructure, after it failed to address “competition concerns”. 

Ofcom expressed that BT had not satisfied measures to address its concerns about BT's ability to favour its retail business when making investment decisions in Openreach. However, Ofcom has resisted against calls to split Openreach off entirely, which some rivals have pursued over recent months.

Essentially the regulator wants Openreach to become a distinct company with its own board, with non-executives and a chairperson who is not affiliated with BT.  

Ofcom have said creating a more independent Openreach, which works "in the interest of all providers, not just BT" was crucial for improving broadband and telephone services across Britain.

But what does it mean for us and our customers? Well, having Openreach as one of our service providers we’re hoping for an improved service so we can better meet our customer’s expectations.

 

 

[1] https://www.ofcom.org.uk/about-ofcom/latest/media/media-releases/2016/update-on-plans-to-reform-openreach

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