Vodafone and BT Cellnet still dominate

Telecoms regulator Oftel has ruled that Vodafone and BT Cellnet continue to have too strong a hold on the UK mobile market.

The decision has been made to "ensure that consumers continue to get the best deal", said David Edmonds, director general of the watchdog.

Oftel said the two companies still have market influence and must continue to allow service providers access to their networks on non-discriminatory terms, and publish charges, terms and conditions for their services. The pair must also keep separate accounts related to their wholesale products.

Last July, Oftel ruled that the operators had market influence following its 'Review of the Mobile Market' report.

"Although the market is becoming increasingly competitive and prices are continuing to fall, Vodafone and BT Cellnet continue to have market influence, and this could operate against consumers' interests," said Edmonds.

A BT Cellnet spokeswoman said the decision "means business as usual" and will no affect "the status quo".

"We already treat our tied and independent service providers in the same fair manner, and we don't see this as a constraint," she said.

The spokeswoman refused to speculate on any future changes Oftel might make over its decision, but pointed out that competition is reducing prices. "The competition in the market means that the cost of owning a mobile phone has fallen dramatically for us - by about 20 per cent."