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Ofcom Orders Openreach to Withdraw FTTP Discount Offer

Ofcom has ordered Openreach to withdraw a proposed wholesale discount for new full-fibre customers, saying the offer could harm competition between broadband networks. The decision follows a consultation launched in July and forms part of Ofcom’s Telecoms Access Review 2026–31 framework.

The Incremental New to Openreach Offer would have given internet service providers a monthly discount of up to £9.50 per customer for up to 30 months when bringing customers onto Openreach’s FTTP network. The discount would have applied to customers above an ISP’s normal level of new sign-ups.

Ofcom concluded that the size of the discount could make it difficult for other reasonably efficient network operators to match the pricing while recovering their costs. The regulator also noted that the offer targeted new customers, which could make it harder for alternative networks to grow their customer bases. Around half of UK households with access to full-fibre broadband have yet to take up a service.

Ofcom said the offer was not fair and reasonable and could undermine sustainable competition. It argued that competition between networks is important for maintaining consumer choice, affordable prices and improvements in broadband services.

Openreach said the decision was consistent with Ofcom’s earlier consultation position. Managing Director for Commercial James Lowther said the company had proposed the offer in an effort to help customers compete and deliver better value, but confirmed that Openreach would review the decision and continue working with Ofcom and its customers.

Ofcom has cleared several of Openreach’s other proposed commercial offers, including an FTTP offer covering the Virgin Media O2 footprint and an Ethernet offer aimed at business customers. The regulator said these offers did not raise the same competition concerns because their effective discounts were substantially smaller.