BT sets up separate business for engineers
BT created a new business for its 25,000 engineers today as part of its biggest regulatory shake-up since the telecom group’s privatisation.
The multibillion-pound business, to be called Openreach, will have its own branding and will be separate from the retail side of the company as BT takes steps to ensure its rivals receive equal access to the network.
The changes, which ring-fence the division responsible for the connection between BT’s network and houses and businesses, come after a review by regulator Ofcom looked into complaints from other providers that BT’s retail arm benefited from preferential treatment.
Ofcom hopes the moves will stimulate competition among operators, particularly in the area of broadband services.
The new BT business will be up and running from January, when the 22,000 vans operated by the company’s engineers will be run under a new logo.
BT had been threatened with the break-up of its wholesale and retail divisions, but the new operation will keep the business intact with safeguards to ensure the two sides are completely independent.
The unit, which will have assets of around £8bn (€12bn) and revenues of more than £4bn (€5.9bn), will have its own headquarters in London and will be monitored by the newly-created Equality of Access Board.
