Competition watchdog orders JT to cut price of private business lines

Monday 25 July 2022

Jersey's competition regulator has ordered JT to cut the price of dedicated business lines.

The Jersey Competition Regulatory Authority (JCRA) has told the public-owned telco to cap its fee for wholesale leased lines at 31% below the retail price, which equates to a 11% fall in the wholesale rate.

Companies and organisations that are heavily reliant on secure and resilient communications and flows of data can lease private lines, which gives them the bandwidth and security they need.

Data shows that there were 1,005 leased lines in use in Jersey in 2019, worth £11.8m in annual revenue, or 10% of the overall wholesale market. JT is the largest provider of leased line services, which it also supplies to other telecommunication companies who want to retail the product to their customers.

The JCRA said that, by directing JT to supply wholesale leased lines to other operators, it was promoting effective competition and choice in the market.

Peter Hetherington, Senior Economic Case Officer at the JCRA, said, “Business connectivity services are vital in supporting the Jersey economy and ensuring it continues to grow and remain competitive. 

“This consultation was an extremely important and valuable exercise that has resulted in better competition in the business connectivity market that will lead to increased choice, lower prices, and improved benefits for customers.”

Pictured top: The JCRA's Peter Hetherington.