Imminent Ofcom Market Re-Classification and Plusnet Pricing

[#1]

Typically of Ofcom, they don't seem to have managed to do this in a timely manner.  Quis custodiet ipsos custodes?

[#2]

just been on the Talk talk site, adn they are offering this ( talk talk prices compared to plusnet)
Broadband TT=£2.50, PN £19.99
Line rental TT£15.40, PN £15
Anytime Calls, TT £5.50, Pn £5.00
Talk Talk = £ 23.40
Plusnet = £39.99
12 months cost
TT £280
PN £479.88
Switching to talk talk will save me £199.98 over a year, all beacuse plusnet appear to be enjoying the extra ££££'s they are getting form offcom at their customers expense.

[#3]

I agree with the conclusion - being cheaper - but the reason why Plusnet have a higher price on a Market 1 exchange is that OFCOM have fixed the price Plusnet have to pay BT Wholesale with no discounts possible

[#4]

Quote

Switching to talk talk will save me £199.98 over a year, all beacuse plusnet appear to be enjoying the extra ££££'s they are getting form offcom at their customers expense. [sic]

I guess that will apply to all the other ISPs who don't have any LLU provision in the exchange. Various resellers use the TT network for some of their products ..... check out the prices they're not as cheap as TT's retail products either.

[#5]

Quote

I agree with the conclusion - being cheaper - but the reason why Plusnet have a higher price on a Market 1 exchange is that OFCOM have fixed the price Plusnet have to pay BT Wholesale with no discounts possible

So why is there no pressure from plusnet for offcom to get off their backsides?
Wheres this report that was supposed to be published in February?
Will the new prices come into effect in April 2014 ( next month ) ?
will this market A/B thing happen at all, or will it remain 1/2/3  for the foreseeable future?
Do plusnet actually care?

[#6]

If I remember correctly, nothing is going to happen in the next few weeks because it was announced a while back that the Ofcom review had been delayed, and the new pricing structure isn't going to appear until July at the earliest - despite the old Market 1/2/3 pricing scheme theoretically coming to an end on 31st March.
So don't hold your breath waiting to see anything happen in March or April  

[#7]

Donning my cynical hat for a moment! 
It's not to BT's and/or lots of ISP's advantage to change the classifications while they are still making more money from ISPs and those whose exchange should be a different "Market" because there are other providers available in addition to BT or their resold products.
I am one of them, my exchange is Market 1 and is supposedly changing to B when this exercise  completes. There have been two LLU suppliers for a long time now at the exchange. By definition it should be Market 2. >:

[#8]

Actually the companies which benefit from an exchange not being reclassified are the LLU suppliers on that exchange as the other BTw based ISP's have to bear the higher costs forced on the by OFCOM

[#9]

In my opinion, the 'Market' scheme failed to improve consumer choice or performance for a significant proportion of customers - by using the 'carrot' of providing the short term financial incentive for other providers to install LLU equipment into Market 1 exchanges.  The LLU providers were not interested as there was not enough long term profit to be made on these smaller exchanges due to the limited number of potential customers, and the difficulty in getting existing broadband customers to switch suppliers.
I think it is now time for the opposite effect to be applied,  i.e. Ofcom should force BT to charge say 10% less than the current Market 3 rate, for those mainly Market 1 exchanges which have not yet been upgraded to 21CN ADSL2 or fibre.  That would give BT a real incentive to upgrade the slowest exchanges - especially in areas where there is no hope of superfast broadband ever being installed.
At the moment BT are putting all their resources into installing fibre using BDUK funding,  and probably have even less interest now in upgrading the small exchanges containing ancient 20CN 'up-to 8Mbps' equipment.
Ofcom must understand how galling it is for customers on Market 1 exchanges who pay around 50% more per month for an inferior service, when others on Market 2/3 get the benefit of vastly improved speeds and pay the lowest subscriptions.

[#10]

Quote from: Oldjim

Actually the companies which benefit from an exchange not being reclassified are the LLU suppliers on that exchange as the other BTw based ISP's have to bear the higher costs forced on the by OFCOM

And those  costs are passed on  to the Market 1 customer if they, like me, choose to not go with a LLU supplier. The ISPs then don't "bear the higher costs". BT are surely the biggest winners if the re-classification is delayed or doesn't happen. Hence my cynic's hat.   Which is partly what I was trying to get across in my post.
"especially in areas where there is no hope of superfast broadband ever being installed." Like my exchange! Fibre will never be available. Or possibly after Hell has frozen over.
I must confess to a slight chuckle when i see posts on here from fibre customers complaining they are only achieving, say, 70mb/s when they should be at 80mb/s.

[#11]

I'm glad to see that this thread I started some months ago is still continuing.  I agree with newagetraveller that the consequences of ofcoms's failure to act are:
1) LLU suppliers at  Market 1 exchanges have a big price advantage that will attract customers away from their non-LLU competitors.  I guess this was always the intention of the ofcom rules but it was intended to be a temporary advantage.  Ofcom's failure to reclassify the exchanges has meant that this price advantage has continued for years rather than months.
2)  BT's revenue is increased.  With companies such as Plusnet this is at the expense of those consumers who have not switched to a LLU supplier.  But I think other companies (including BT Broadband?)  have quietly dropped the Market-sensitive pricing structure and choose to subsidise their Market 1 customers.   

[#12]

Is it right that BT should be charging more for FTTC on Market 1 exchanges if the exchange only had FTTC enabled as a result of BDUK funding?

[#13]

Plusnet fibre is anything but good value
Talk Talks basic fibre option costs  £13.50 per month and for the full version its £18.50
Plusnet is £22.99 and 27.99
Plusnet are a BT company, as are BT wholesale/openreach etc it all goes into the same pot in the end so it suits plusnets parent company to keep the prices high.

anything but honest broadband.

[#14]

Are you factoring the line rental / current deals et al

[#15]

Those prices are just for the broadband/fibre element without any line rental/call bundles, or special offers. just the base price.