Broadband Blow for BT as Regulator Demands Price Limits ; BUSINESS ANALYSIS Telecoms Giant Is under Pressure but Rivals Say Regulators Have Not Gone Far Enough

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BT GROUP suffered another blow to its dominance of the UK telecoms market yesterday when industry regulators announced yet more rules governing the former monopolist's operations.

Having watched its traditional fixed-line business undermined by alternative operators, it has also seen its mobile phone business swept away by its own shareholders who forced its demerger as a condition of supporting the group's pounds 6bn rescue rights issue in 2001.

Now the industry regulators, Oftel and Ofcom, soon to be known just as Ofcom, have announced proposed regulations for broadband internet access which will ultimately leave BT facing even greater competition in this …