Memorandum by Mr Stephen Townsley
NB: I have no connection with the mobile phone
industry other than as a private customer.
High charges for mobile phone "roaming"
arose from the historical position that mobile phones were the
luxury tool of the business user. I would refer members to the
budget in which Norman Lamont taxed the use of business mobile
phones due to the alleged annoyance suffered by the majority in
public spaces such as restaurants. In recent years up to 90 per
cent of the population has mobile phones. Some have a business
phone and a private phone in order to avoid the tax issue.
Technological change means that now the location
of a mobile phone can be known to within a few metres. Business
changes mean that mobile phone companies are multi-national trading
across the boundaries of European states.
In my case I travel for personal reasons to
Denmark and Germany where I have friends. While I am abroad with
my English T-Mobile phone I telephone a T-Mobile subscriber in
the same country. I am charged an international call. Conversely
they are charged an international call to speak to me and I am
charged to receive that call. In fact technological change means
that the host network in the foreign country knows where I am
and other than a quick check on my credit worthiness a call that
costs fractions of a penny to route over a network costs me 70p
per minute.
Calls from home create an incoming charge to
me. Again the calling network knows I am not in the UK. It would
be a technologically trivial task to warn a UK caller that the
mobile number was now roaming and the call would be charged at
an international rate. This already happens if you call a US 800
style number that is not free from Britain.
As a mobile phone user I want to be charged
a fair price for the use of my phone. I want competition between
networks. If the EU is a meaningful single market then roaming
mobile phones should be considered normal and not exceptional.
The cost should reflect the widespread use of mobile phones and
if the market cannot provide low-cost roaming fees then regulation
needs to be used.
Thank you for the consideration of my submission.
4 February 2007
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