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Ofcom blocks Openreach's £9.50 fibre discount in first-ever intervention to protect rival networks

From the Newshound archive · first published 29 September 2026 · last updated 30 September 2026.

Ofcom ordered Openreach to scrap the scheme after ruling its £9.50 monthly per-customer discount could leave smaller rival networks unable to recover their own costs.
Ofcom ordered Openreach to scrap the scheme after ruling its £9.50 monthly per-customer discount could leave smaller rival networks unable to recover their own costs.

Ofcom has told BT's Openreach to scrap a wholesale full-fibre discount scheme due to launch on 1 October, ruling that its pricing failed to meet the standard of fair and reasonable — marking the first time the regulator has moved to block a commercial offer from Britain's largest fixed-line network operator. The abandoned arrangement would have given broadband providers a £35 connection rebate alongside a monthly per-customer reduction of £9.50, sustained for up to 30 months, provided sign-ups cleared an agreed baseline.

Ofcom found that the discounts could leave smaller altnet rivals unable to match prices without failing to recover their own costs.

With roughly half of all UK households that can access full fibre yet to take it up, Ofcom warned that the targeted scheme risked undermining altnets before they reach the scale necessary to remain viable.

Openreach commercial director James Lowther said the company had put the offer forward 'in good faith' and would review the decision carefully.

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