Tesco and Asda disagree on MTRs

by Tom Hall ~ August 20th, 2009. Filed under: In The News.

Ian King at The Times Online has written about the reactions from interested parties in regard to the current debate surrounding Mobile Termination Rates (MTRs), notably those by Tesco and Asda. The reactions were published by industry regulator Ofcom as part of their consultation on whether MTRs should be reduced,

“Ofcom’s consultation, in part, follows a campaign called Terminate the Rate launched jointly by BT and the mobile operator 3UK. They argue that termination fees, which are about 5p to 6p per minute, are excessive and, by creating an artificial floor on prices, suffocate competition. BT argues that people who use mainly fixed lines suffer disproportionately. It argues that a penny per minute would be about right.

Needless to say, the big four mobile operators disagree…”

This opposition from the big four isn’t what caught King’s eye; instead it was that of Tesco Mobile who sent out a warning that with MTRs being reduced, costs will need to be reconciled by the raising of other charges. King sees this as contradicting the brand’s core values,

“The response from Tesco Mobile, which is jointly owned with O2, is at odds with the grocer’s usual approach — to compete aggressively at all costs in order to bring down prices for customers.”

It seems that Asda, who in their submission fully support Terminate the Rate, appear to have beaten Tesco at their own game,

“Cut these [MTRs] and we will be able to reduce the cost of calls to our customers.”

Although we recently passed 90,000 signatories we’re still seeking more - sign the Terminate the Rate petition.

Comments

  1. I really Cannot see why These Landline companies…BT For instance charge these High prices to call a Mobile From Landline, I think the people it hits most is parents who want to contact a Son/Daughter who do not have a Landline…I know quite a few people in this Situation who do not own a mobile for Cost Reasons.
    Like everything else in this country I think it all amounts to GREED!….DS


  2. Further to my last Email…I also think its a Bloomin’ Cheek that you are charged extortionate Rates to call an 0845,0870,0800,from a mobile especially if you are trying to buy something from Dealer who uses these Numbers. Personally I WILL NOT touch these companies with a Ten foot Barge pole if I Want to purchase anything….DS


  3. kerry scott said on

    I agree that at the end of the day business are there to make money …. But the profit should not all be at the expence of the customer after all why do they sell an 08 number in the first place… and then to have the pleasure of basicly charging twice once for the number and again to the consumer for calling it …. bring back the good old fasion 0208 for business use … or for those reading this check out the SAYNOTO0870 web site !!


Have Your Say






The Official Campaign

Find out more about MTRs, who's backing the campaign, and what it means for you here..

VISIT THE WEBSITE


Campaign Supporters

Campaign Supporters

SEE ALL SUPPORTERS