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Rural users pay over the odds
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Millions paying extra in ‘broadband blackspots’
Garnet Roach garnet@consumerchoices.co.uk
Millions of consumers living in rural areas are being denied access to the best deals, according to new research (08-07-08).
Those living in the “broadband blackspots” where there are no local loop unbundled (LLU) lines are paying as much as £15 a month more than those connected to an LLU exchange, it has been revealed.
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"Broadband users in rural areas have long had to struggle with poor speeds and reliability and now it seems that they must also pay more for this inferior service"
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Researchers have claimed that 12 million people live outside of Tiscali's (www.Tiscali.co.uk) LLU network, having to pay an extra £8 a month if they want Tiscali services, while a further 10 million are affected by AOL's (www.AOL.co.uk) blackspot, costing them an additional £10 a month to sign up.
LLU lines are cheaper because the ISPs have installed their own equipment in the exchange and no longer have to pay BT Wholesale (www.BT.com) to rent lines.
Without LLU, the revolutionary “free broadband” offers from TalkTalk (www.TalkTalk.co.uk) and the subsequent “free line rental” from Tiscali would not be possible.
According to recent statistics from the Office of the Telecoms Adjudicator, “demand remains strong” for such services, with LLU lines now topping 4.76 million.
Tiscali said it was “astounded” by the claims. “It implies that Tiscali doesn’t offer competitive deals outside our LLU areas, when we are actually one of the most competitive providers nationwide,” the provider said in a statement.
“We are able to offer additional products and bundles in our LLU areas, but we also offer best value pricing nationally for broadband and voice, whether a customer is on LLU or not.”
Michael Phillips, BroadbandChoices.co.uk product director said that this was yet another example of the digital divide. “Although broadband might now be available to almost every home, that doesn’t mean that there isn’t a divide.
“Broadband users in rural areas have long had to struggle with poor speeds and reliability and now it seems that they must also pay more for this inferior service.”
Source: MoneySupermarket.com
Related article - Cheap broadband.
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