TalkTalk retaliates after BT price cuts

06 June 2007
TalkTalk has launched a round of cuts which could signal the start of a price war in the landline market, according to

All call package costs have been slashed while customers are also offered free international calls for a sum of £2.50 extra a month, the communications firm announced this week.

The move follows hot on the heels of last week's announcement from BT that it was restructuring prices for its landline customers.

Both moves will reduce the expense of standalone landline deals for customers who have not opted to 'bundle' broadband, home phone and digital TV, Chris Frost, communications expert at the switching site, said.

In a direct comparison between TalkTalk and BT, he noted that both companies offer line rental for £10.50 monthly but that TalkTalk's extras met its self-imposed constraint of undercutting BT on price.

The closest comparison is on TalkTalk's Talk3 package, which gives customers unlimited calls to landlines for £7.49, just one pence cheaper than the equivalent BT package, pointed out's Karen Darby.

But customers who are keen to make international calls to a wide range of destinations could find BT's offer of calls to 36 overseas countries marginally more attractive than the TalkTalk 30-country deal, suggested.

Nevertheless, commentators have recently noted a growth in the number of households replacing landline usage with mobiles altogether.

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