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Regulated prices
Wholesale prices for Sky Sports 1 and 2
| Sky Sports 1 | Sky Sports 2 | Sky Sports 1 & 2 | |
| Wholesale-must-offer price(from 1 Sept 2012) | £13.87 | £13.87 | £19.41 |
Wholesale prices will track changes in retail prices over time based on a constant absolute (pounds) margin between retail and wholesale prices.
The prices shown apply to Sky Sports 1 and Sky Sports 2 (standard definition).
The wholesale must-offer remedy will apply to high-definition versions of the included channels. However, we have decided not to set a price for supply of these channels. Instead we have included an obligation for supply to be on a fair, reasonable and non-discriminatory basis.
Charge Controls for Local Loop Unbundling (LLU) and Wholesale Line Rental (WLR)
Communications providers which use BT’s copper network to provide wholesale and telephone and broadband services to homes and businesses are required to pay Openreach, BT’s wholesale access division, a fee to access the network for the provision of various wholesale telecoms services. The wholesale charge for such services is regulated by Ofcom where BT has been found to have significant market power in the delivery of these services. On 7 March 2012 Ofcom set charge controls for two such categories of services: local loop unbundling (LLU) and wholesale line rental (WLR) services.
These charge controls were appealed to the Competition Appeal Tribunal by TalkTalk Group, Sky and BT. As a consequence of these appeals, certain aspects of Ofcom’s decision were found to be in error and to remedy these, the CAT has directed Ofcom to revise the previous LLU and WLR charge controls for 2013/14. These new prices are applicable from 1 May 2013.
| Basket/service | Charge control for 2013/14 from 1-30 April 2013 | Charge control for 2013/14 from 1 May 2013 |
| MPF rental | £85.04 | £84.26 * |
| SMPF rental | £10.40 | £9.75 * |
| WLR Rental | £94.75 | £93.27 * |
| MPF New Provide | £45.53 | £45.53 |
| WLR New Connection | £47.11 | £47.11 |
| WLR Transfer | £3.39 | £3.39 |
| Co-mingling ancillary services basket | -0.4% | -0.4% |
| MPF Single Migration | £30.82 | £30.65 * |
| SMPF Single Migration/Provide | £30.82 | £30.65 * |
| MPF ancillary services basket | -5.8% | -5.8% |
| SMPF ancillary services basket | -9.8% | -9.8% |
* Charge changed by CAT direction
Ofcom is currently in the process of conducting a review of the wholesale fixed access markets. Consultations are due to be published over the coming months and, if required, the next charge controls would be expected to come in to effect as of April 2014.
Mobile Termination Rates
When fixed and mobile operators offer their customers the ability to call UK mobile numbers, they pay mobile operators a wholesale charge to complete those calls. The rates that operators pay are known as “mobile call termination” (MCT) charges.
Current Mobile Call Termination Charges
| Period 1 | Period 2 | Period 3 | Period 4 | Period 5 | Period 6 | |||
| 1 April 2010 to 31 March 2011 (TAC) | 1 April 2011 to 30 October 2011 | 31 October 2011 to 31 March 2012 | 1 April 2012 to 10 May 2012 | 11 May 2012 to 31 March 2013 | 1 April 2013 to 31 March 2014 | 1 April 2014 to 31 March 2015 | ||
| 2G/3G Operator | ||||||||
| X Value | NA | NA | NA | NA | NA | -46.6% | -3.0% | |
| Real Cap (08/09 Prices) | 4.180 ppm | 2.664 ppm | 2.693 ppm | 1.735 ppm | 1.258 ppm | 0.690 ppm | 0.670 ppm | |
| Nominal TAC/CAP | 4.428 ppm | 2.984 ppm | 3.015 ppm | 2.053 ppm | 1.500 ppm | 0.848ppm | NA | |
| H3G | ||||||||
| X Value | NA | NA | NA | NA | NA | -46.6% | -3.0% | |
| Real Cap (08/09 Prices) | 4.480 ppm | 2.664 ppm | 2.693 ppm | 1.735 ppm | 1.258 ppm | 0.690 ppm | 0.670 ppm | |
| Nominal TAC/CAP | 4.750 ppm | 2.984 ppm | 3.015 ppm | 2.053 ppm | 1.500 ppm | 0.848ppm | NA |
Note: all Mobile Termination Rate caps expressed in pence per minute (ppm); TAC is target average charge.
[2] 3G-only MCP
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Rohit Goel
Analyst Relations and Research Manager
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