TalkTalk bigger than BT when it comes to TV

TalkTalk’s financial results reveal people are flocking to its YouView TV service. What’s the reason for the rapid growth, and how is the provider doing when it comes to broadband?

TalkTalk's YouView-based TV packages have now amassed 1.1 million subscribers, according to its latest financial results. That means it's now leapfrogged BT as a TV provider.

Between April and June, TalkTalk gained 185,000 TV customers. As a point of comparison, BT's last financial results in March showed it gained 46,000 TV customers that quarter, taking the total number of people with a BT TV package to one million.

TalkTalk's success can be attributed to it offering the cheapest subscription TV in the UK. Rather than charge a premium extra channels as standard, TalkTalk gives you a YouView set-top box and lets you add extra channels to it. For example, you can add seven Sky channels, including Sky 1 and Sky Living, for £5 a month or Sky Sports for £30 a month.

However, while TalkTalk's revenue has gone up by 3.1%, profit growth has still fallen short of expectations.

But according to TalkTalk big cheese Dido Harding, that's OK because its TV packages has helped it reduce churn - the number of people switching to another provider.

A significant reason for the growth there has been is TalkTalk's broadband. Over the last three months the provider's gained 34,000 fibre optic broadband customers, which shows more people are switching to superfast broadband as it becomes more affordable.

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