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BT 'must put house in order or face split' - MPs

2016-07-19 08:14:00| Telecompaper Headlines

(Telecompaper) BT is "significantly under investing" in its network arm Openreach and should face structural separation if it does not commit to remedying the shortfall, according to a parliamentary report. The report was commissioned by the Culture, Media and Sport Committee from a panel of independent experts, and comes as UK regulator Ofcom considers imposing stricter regulation on BT and its wholesale subsidiary. The report found that capital investment in Openreach has been broadly flat since 2009, and quality of service remains poor. The Committee is demanding that BT invest significantly more in Openreach, and allow Openreach much more autonomy. It supports Ofcom's plans for establishing greater separation between Openreach and BT Group and said that if BT fails to "offer the reforms and investment assurances necessary to satisfy our concerns", Ofcom should move to enforce full separation of Openreach.

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