Business
BT and Ofcom reach Openreach governance agreement'
BT and Ofcom reach Openreach governance agreement'.
About this update from Bt Group Plc
[{"type":"text","content":"\n \nRNS Number : 1138Z BT Group PLC 10 March 2017 \n \n\nThis announcement contains inside information. \n \n March 10, 2017\nBT AND OFCOM REACH AGREEMENT ON FUTURE GOVERNANCE OF OPENREACH \nOpenreach to be a legally separate company within BT with its own Board\nAround 32,000 employees to transfer once pension arrangements are in place\nOpenreach Limited to have its own brand without the BT logo\nBT and Ofcom have reached agreement on a long-term regulatory settlement that will see Openreach become a distinct, legally separate company with its own Board1, within the BT Group. The agreement is based upon voluntary commitments submitted by BT that the regulator has said meet its competition concerns.\nOnce the agreement is implemented:\n· Around 32,000 employees will transfer to the new Openreach Limited following TUPE consultation, and once pension arrangements are in place. \n· Openreach Limited will have its own branding, which will not feature the BT logo.\n· The Openreach CEO will report to the Openreach Chairman with accountability to the BT Group Chief Executive with regards to certain legal and fiduciary duties that are consistent with BT's responsibilities as a listed company.\n Openreach, which builds and maintains the tens of millions of copper and fibre lines that run from telephone exchanges to homes and businesses across the UK, will assume greater independence under its own Board of Directors.\n The agreement is intended to be comprehensive and enduring, helping to ensure the UK telecommunications market remains one of the most competitive in the world. Hu...