BT takes axe to business broadband prices

With over half the UK's companies yet to embrace broadband, lower prices could tempt them on board

BT has cut the prices of its business broadband packages, in the hope of taking advantage of increased awareness of the benefits of a high-speed Internet connection.

From this week, BT Openworld's business ADSL services will cost up to £20 per month less than before -- a saving of £240 over a year.

Openworld's Business 500PLUS product, which provides a 512Kbps connection, now costs £65 per month, down from £79.99. Its Business 1000PLUS -- a 1Mbps service -- has dropped from £119.99 to £100 per month, while the 2Mbps Business 2000PLUS costs £130 per month, from £149.99.

These reductions will apply to existing customers, as well as new users.

We're cutting the cost of our broadband services to boost broadband take-up across the SME community," explained Jerry Thompson, director of business broadband at BT Openworld, in a statement.

The number of businesses using a broadband connection has doubled over the last year, due in part to hefty wholesale price cuts introduced earlier this year. According to the British Chamber of Commerce (BCC), many companies are now aware that broadband can mean improved business productivity and cost savings, as well as a faster Web connection -- although the BCC thinks more education is still needed.

Some 60 percent of firms have yet to make the move to broadband, though, so ISPs such as Openworld still have plenty of potential customers to fight over.

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