An 8Mbit/s service for £21 a month reaches throughout the UK

Telecoms firm PlusNet is launching its own low-cost broadband and telephone services, combining 8Mbit/s internet, landline rental and calls for £20.99 a month. The firm will offer the services in a pick-and-mix format, details of which are available below.

Although the PlusNet service may be more expensive than some of its competitors, the firm said that its coverage was more comprehensive. Carphone Warehouse’s TalkTalk offers a similar service for £7.99 per month, but still requires customers to pay BT for a landline.

PlusNet said that its lack of reliance on local-loop unbundled exchanges meant that it could offer the service to about 99 percent of the population. PlusNet marketing director Neil Armstrong said in a statement, “a major barrier to take-up has been poor nationwide coverage and off-putting long-term contracts. The UK consumer can now get access to a great service with the comfort of a one-month term.”

The service does not lock users into a yearly contract. It goes live on 4 July. A cheaper service, called Broadband Basic will launch on 31 May and will cost £9.99. However, this is just a high-speed internet offering.