BT notes the publication of Ofcom's Wholesale Local Access review (WLA) draft statement this morning.
Today's statement from Ofcom gives us certainty on the pricing of key products for the next three years.
BT estimates that the price changes in today's Ofcom WLA draft statement, for the directly charge controlled products, will have a year on year adverse financial impact on Openreach's revenue and profit in 2018/19 in the range £80m - £120m. There will be further year on year impacts on Openreach, resulting from price reductions to the directly charge controlled products, in each of the successive two financial years in the range of low to mid tens of millions of pounds. Additionally, Openreach's cost base will increase as a result of meeting the more demanding minimum service levels required in WLA markets.
Full item here;
https://www.investegate.co.uk/bt-group- ... 18317750F/
This might explain why the sp is up 4.5%. It's nice to see some good news regarding them. I've topped up 5 times since 24 Oct 2016, so I'm fairly laden with the shares, they currently weigh in at 3.5% in capital value of my 29 share HYP.
Ian.
