Thursday, August 4, 2016

U.K. Business, Consumer Spending on Communications Fell from 2010 to 2015

Spending by U.K. businesses and consumers has fallen from 2010 to 2015, Ofcom says, though industry revenue was up slightly in 2015, driven by higher consumer spending on high speed access, but offset by flat business and mobile spending.

Total UK telecom revenue grew by £0.2 billion (0.5 percent) to £37.5 billion. The big change was significantly lower roaming revenue, down nine percent.

Revenue from corporate data services fell in 2015, declining by one percent.

Average monthly household spend on telecoms services increased by £2.52 (3.2 percent) to £82.17 in real terms in 2015, driven largely by higher spending on faster Internet access services.

The total number of fixed voice lines decreased by 0.3 million (one percent) to 33.2 million in 2015, while the total number of mobile subscriptions, including handset, dedicated mobile data and machine-to-machine (M2M) connections, increased by 1.6 million (1.8 percent) to 91.5 million during the year.

Fixed-to-mobile substitution in voice calls continued in 2015, when fixed voice call minutes fell by seven billion minutes (9.2%) to 74 billion minutes in 201551 and mobile voice call minutes increased by five billion minutes (2.0%) to 143 billion minutes.

Falling mobile voice prices are likely to have contributed to these trends, as well as the increasing prevalence of mobile tariffs offering unlimited voice minutes, and the convenience of smartphones.

The total number of outgoing SMS and MMS messages continued to fall in 2015, down by eight billion messages (7.6 percent) to 101 billion messages.

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