Ofcom proposes increases to mobile spectrum licence fees

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Written by Uswitch
Updated on 10 October 2013
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Commenting on Ofcom’s proposed increases to mobile spectrum licence fees, Adam Kirby**, telecoms expert at [Uswitch.com](/mobiles/), says:** “The size of these figures may come as bad news to the mobile networks, but more worryingly could sound alarm bells for consumers.

“The proposed new costs reflect a huge leap in the amount networks will have to pay the regulator for using the spectrum. Our concern is that it will be mobile users who are left to foot the bill – and it isn’t clear if there will be any direct benefits to them. In fact, providers will no doubt be concerned that their investment in network infrastructure will be limited if they are shelling out more for licence fees.

“However, the good news for concerned consumers is that no increases have been confirmed as yet – Ofcom are now consulting on the fees. It remains to be seen how much these costs will actually rise, and if the networks can fight back and keep a lid on these increases.

“While some may argue that if the 4G spectrum had raised more, these increases wouldn’t have been so large, in fact the 4G auction benchmarked the value of mobile spectrum, so arguably helped keep these new licence fees lower than they could have been.”

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Katherine Moss

Phone: 020 3021 5893

Email: katherine.moss@uswitch.com

Twitter: @uswitchPR

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