chrisd4uh wrote on Dec 1
st, 2010 at 5:45pm:
Thank you for doing that. Can you also please remove the address (post code and house name) and telephone number from the second part of your post.
Done.
chrisd4uh wrote on Dec 1
st, 2010 at 5:45pm:
I'm afraid I dont really understand what you said there. …
There are many different call providers, so the price of a call to any number is determined by each respective provider.
There is no regulation which applies to all providers which forces them to retail calls to 0870 numbers at the same rate as calls to national geographic numbers on each of their respective tariffs. The only regulation that forced 0870 calls to be charged at national rate applied to BT on its "standard" tariffs.
In reality today, the true cost of 0870 calls is generally higher than geographic calls. The same is true of 0845 numbers.
To explain why this is so, I'll set out some theory.
When there was only BT, people made calls with BT to others on BT. Hence, the telephone provider that billed callers also delivered the same calls to receivers.
At that time, national geographic calls cost 7.91 pence per minute and local geographic calls were 3.95 pence per minute in the daytime (with BT). It was decided by the regulator that 0870 numbers would be retailed by BT at the same price as a national geographic call (hence the association with "national rate") and that BT would hand over most of those charges to the receiver's telephone company. The former applies to all BT tariffs, but the latter only applies to "non-discounted" or "standard" tariffs.
In 2004, the final nail went in the coffin for BT residential customers being on non-discounted tariffs when BT Standard was scrapped. Even at that time, most other tariffs on the market didn't charge national calls at a higher rate.
I think that this former link to "standard" BT rates is the most likely explanation of the claim that your 0870 number is "standard national call rate".
It is also worth noting that 0845 and "local rate" applied likewise on BT non-discounted tariffs.
With today's multiple provider telecommunications system, caller and receiver may be with different providers and this means that one provider pays the other. Picture the chain as follows:
[Caller]---[Caller's provider]========[X]========[Recipient's provider]---[Recipient]
The Recipient's provider charges the Caller's provider for connecting the call. The two parties' connection is represented by [X].
With 0870 numbers up to 31 July 2009 only (and 084x, 0871, 0872 and 09 numbers all the time), the Recipient's provider imposed/imposes a bigger charge than with "normal" 01/02/03 numbers. This is the premium or subsidy or benefit to the Recipient.
This has the following effects:
- on the callers: Callers' providers charge more for calls. Remember they are retailers and are simply reflecting the costs they incur in their retail prices. (BT is the exception because of the way in which it is regulated).
- on the recipients: They can be paid revenue, which should be considered cash-back in the transaction for the service. The less the revenue payments, the more the recipient's provider gets to keep for the service and crucially, such variations have absolutely no affect on the caller's charges.
Under the multi-provider system, call recipients have a responsibility to select a number based on the level of subsidy they wish to take from callers.
In 2007 Ofcom introduced 03 numbers. They are non-geographic, just like 08 numbers, but are a neutral charge from all call landline and mobile providers and this is enforced by regulation. The cost the caller's providers to connect calls is the same as 01/02 geographic calls, so no benefit is derived by recipients.
On 1 August 2009 the rules changed for 0870 numbers. The connection charge imposed on callers' providers by recipients' telcos to connect calls was brought inline with that of 01/02/03 calls. Unfortunately there was no decree for call providers to align their retail prices, and only BT, Talk Talk and a few others did this.
In essence, 0870 is dead. There is no subsidy to recipients (number users), but callers often get charged more than a geographic call. Yet 03 gives provides subsidy
and costs callers no more than a geographic call (and is included as part of inclusive packages).
My advice is that you look at switching to a 03 number, either with your current provider or another one. I gather that it's a VoIP service and as CJT-80 has pointed out, they are available with incoming 03 numbers and no per minute charges.