The real cost of BTnet leased lines
BT leased line costs are changing, and these changes are expected to affect many businesses across the UK. Not only will existing BT customers be affected by changes to BT leased line costs, but companies who currently have a leased line contract with many other providers may also notice changes to their bills.
Of course, changes to BT leased line costs are also expected to affect businesses who are looking at installing a dedicated, uncontended leased line for the first time. The good news is that these changes are likely to bring significant price drops for ‘most customers’, according to insight from Ofcom.
Here’s how you may be affected by proposed changes to BT leased line costs:
Existing BT Leased Line Customers
If you already have a leased line contract directly with BT, such as BTnet EFM/GEA or BTnet Ethernet Fibre, you can reasonably expect for your BT leased line costs to drop. Ofcom have imposed tighter regulations on BT charges to ensure that business customers have better access to affordable internet.
This is rarely seen by customers through BT business as their leased line prices are consistently the most expensive. However BT wholesale prices are the oppasite and leased line connectivity through that arm of the business can be extremely cost effective. But the public don’t have access to it so the only way to get a cheap leased line package is to purchase it from a re-seller who gets access to wholesale pricing.
Businesses with Leased Lines from Other Providers
Even if your leased line contract is with a provider other than BT, you may still benefit from the proposed price drops. BT Openreach maintain many of the lines that other providers supply connections through, so wholesale changes to BT leased line costs may financially benefit your business.
Virgin Media Leased Line circuits often come in cheaper, although the time they take to install a leased line is generally much longer. It can be hard to know what you should expect to pay so we would always recommend doing a leased line comparison to get an accurate feel for the current market.
If you’re finding that your existing business broadband connection doesn’t quite meet your current needs, then there’s never been a better time to start looking into installing a dedicated leased line. BT leased line costs are dropping, which means a fast, reliable connection has never been more affordable.
Having a managed service, like a leased line service, gives you symmetrical bandwidth for a fixed monthly rental. Leased lines give you no downtime and low latency so your private line performs how you expect, every time you need it to.
We understand making the switch from broadband to a leased line can seem like a big jump & if you are only looking at the monthly rental its understandable. Broadband costs you £30 a month & BTnet express may cost you 10 times that depending on your location. Then there’s the myths about leased line installation charges being tens of thousands every time.
£30 a month broadband is certainly a cheap solution & generally speaking for most businesses its a solution that will end up costing you. UK businesses lost 60 million hours to internet downtime last year and when you work out the cost of downtime to your business it often far exceeds the cost of a leased line.
As for installation costs, whilst it is true charges may apply its rare. Most ethernet contracts are on a 3 year term as standard. Should you need a 1 year contract the chances are there will be an install fee applied of anything up to £2000.
Once you order the line openreach will come to do the site survey to see if any additional construction work needs to be done to get the line in. ECC charges cover anything it takes to physically get the line in such as digging up the road or getting permission from councils or home owners. They can range from as little as £10 right up to the most expensive we have ever heard was over £200,000.
There is no way you can tell what ECC’s (if any) may apply until you have the survey. If openreach determine you are in an area that has no fibre and needs construction work they will let you know and at that point you have every right to cancel the contract. Its worth checking to see if other providers can do anything at this point, many will absorb ECC charges or at least reduce them.
How BT Leased Line Costs are Changing
Wholesale BT leased line costs are expected to drop by around 12 percent, with a consumer price index (CPI) cap of -13.25 percent per year. These changes will occur gradually over the next 3 years, beginning on 1st May 2016. For prospective customers, now is an excellent time to start researching the different leased line products, and different providers, to ensure you’re getting the best rates once the BT leased line cost changes are imposed. Compare leased lines, determine your needs, and find a leased line product that not only meets your business requirements, but also your budget requirements, too.