British telecoms regulator Ofcom has announced price controls on the amounts that mobile operators can charge other telephone companies for connecting calls on their mobile networks.
The controls will apply for four years and will for the first time cover Hutchison 3G (3) and other providers of 3G services.
Ofcom said it expected an average annual reduction in wholesale charges of £400-500m over the period, with savings passed through to retail customers.
3's charges have been cut by 45%, while Vodafone and O2 face 10% reductions. Orange and T-Mobile charges are to be lowered by 20%.
