Price Cap on Yellow Pages' Advertising - 11 May 2001
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Office of Fair Trade - Stmnt re Yellow Pages |
Office of Fair Trading
11 May 2001
No: 21/01
PRICE CAP ON YELLOW PAGES' ADVERTISING
At the request of the Secretary of State for Trade and
Industry, Stephen Byers, the OFT is to seek further
undertakings from BT on Yellow Pages' advertising fees.
BT is being asked to cap the fees at RPI -6 for four
years from January 2002.
The decision, made by the Secretary of State on 4
May, follows a review by the OFT of the undertakings
given by BT in 1996. These were recommended by the
Monopolies and Mergers Commission (now the Competition
Commission) to address concerns about ineffective
competition in the market for classified directory
advertising services.
NOTES
1 The existing undertakings were given following a1996
MMC report on the supply of classified directory
advertising services. They cap Yellow Pages'
advertising rates at RPI-2. They also require Yellow
Pages to publish a rate card, ensure that directory
areas do not overlap and provide accounts to the
Director General.
2. The Secretary of State has the power to make an
Order requiring the price cap if necessary.
PUBLIC enquiries: 0845 7224499
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