Jersey telecom company in legal bid to block competition

Jersey telecom company JT is taking the competition regulator to court to block plans to allow other firms to offer home phone services.

The Channel Islands Competition Regulatory Authority (CICRA) wanted to introduce competition for home line rental from June.

But due to concerns from JT it was delayed until November.

Daragh McDermott from JT said the delay did not go far enough and it still had a number of concerns.

JT is the main operator in Jersey owning the majority of lines. In Guernsey the main firm is Cable and Wireless but both companies operate in both islands.

'Deliver choice'

Graham Hughes from Cable & Wireless in Jersey said it was ready to introduce competition in Guernsey where it owns the lines.

"We fully support the regulator... and like many Jersey people, I call on JT to side with customers for once and deliver the choice and cost savings they need so much during this period of economic difficulty.

"Every day JT delays is costing islanders the choice they deserve whilst protecting the company's own profits."

However Mr McDermott said JT had not been given enough time by CICRA to introduce the changes.

He said: "We hope to continue constructive dialogue with the regulator... as without some changes JT simply would not have been able to implement the decision on time.

"This process will allow the Royal Court to give its decision, which will then provide clarity on the best way forward."

He said JT lost £1.6m on its fixed line business in 2012 and having to offer reduced price phone lines to older people in Jersey was partly to blame.

Andrew Riseley from CICRA said home phone competition would give customers more choice, make costs more competitive and was a straightforward service offered elsewhere in the world for at least 10 years.