LONDON, March 10 (Reuters) - Britain’s biggest telecoms group BT has reached an agreement with the regulator to finally resolve a two-year row over how the national broadband network is run, agreeing to a legal separation of the business.
BT has come under fire from regulator Ofcom after rivals including Sky, TalkTalk and Vodafone accused it of delivering a poor service, under investing in the network and running it to serve BT’s bottom line rather than the interests of the country.
On Friday BT said it had agreed to legally separate its broadband unit, Openreach, moving 32,000 staff into the new company, which will have its own brand without the BT logo.
“BT has agreed to all of the changes needed to address Ofcom’s competition concerns,” Ofcom said in a separate statement. “As a result, Ofcom will no longer need to impose these changes through regulation. The reforms have been designed to begin this year.” (Reporting by Kate Holton, editing by James Davey)