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Price hikes for Sky's Sky Sports customers will kick off in September, with a new Premier League contract representing improved investment in Sky Sports, the broadcaster said.

BSkyB was told by Ofcom, the communications watchdog, that it had to sell its premium sports content to rivals at regulated prices after concerns it was dominating the market.

But the price hike will hit wholesale customers, such as broadband, home phone and digital TV provider BT, with higher charges. In a bid to land a strong position in the pay-TV market, BT said it was reducing the cost of watching Premier League football to £6.99. But now the BSkyB increase could result in huge losses for BT Vision, which is offering Sky Sports 1 and 2 in its package for customers.

BSkyB insists the rising costs will be value for money, with more investment being pumped into its sports programmes - particularly with Premier League coverage - and into its comedy and US content.

In the final quarter Sky said it added 119,000 broadband customers, 137,000 telephony customers and 214,000 for line rental. The data comes as BSkyB announced its operating profits rose 10% after it added 90,000 more customers during the final three months of its financial year.

Want Sky Sports in time for the new Premier League Season?

Easy! Compare digital TV deals with Simplifydigital. Either give one of our resident experts a call on 0800 083 0265 or click here to compare TV deals online.

Broadband, home phone and digital TV supplier BSkyB has seen operating profits jump 10% after adding 90,000 customers towards the end of its financial year, it has said.

At the end of June Sky's customer numbers stood at 9.86 million with high definition services being used by 30% of subscribers.

In the fourth quarter Sky+ HD saw 429,000 net additions, which means double the number of people are receiving the service than a year earlier, chief executive Jeremy Darroch said.

The company also saw a boost in its combined TV, broadband and phone packages with one in five customers now taking advantage of this service - a 36% increase on last year.

He added: "We've had another good quarter to bring our financial year to a strong close."

BSkyB reported adjusted operating profits of £855 million, up 10% a year earlier, while bottom-line pre-tax profits rose to £1.17 billion due to the disposal of shares in ITV, after a write-down on the holding a year ago.

The company recently rebuffed a 700p-a-share approach from Rupert Murdoch's News Corporation for the 61% of BSkyB that NewsCorp does not currently own, a move valuing the FTSE 100 Index company at around £12 billion.

BSkyB called for an offer in excess of 800p a share, although it agreed to begin work on the regulatory process required for a tie-up.

TalkTalk CEO Charles Dunstone has announced today that the broadband and home phone provider is about to invest more in fibre optic broadband technology.

Dunstone stated today that TalkTalk have already invested £500 million into their own fibre optic infrastructure which is the UK's largest unbundled network of its kind.

This £500 million has given around 85% of the UK population access to TalkTalk's fibre optic network.

Dunstone continued today...

"Over time the move to install fibre will remove the imbalances that currently exist as we will be able to offer a consistent and much faster speed to everyone."

Want to find out what broadband speed you can get at your home?

Give one of our resident experts a call on 0800 083 0265 or click here to compare broadband deals online.

The government has announced today that there will be a spectrum auction next year in order to provide higher quality mobile broadband.

The auction, due to take place late 2011 will be part of the Governments 'Radio Spectrum Modernisation' prgoramme which basically means mobile broadband companies will be able to bid on ownership of certain frequencies and therefore be able to offer higher broadband speeds.

Minister for communications Ed Vaizey said today...

"We want the UK market to remain at the fore of delivering devices like the iPad and smartphones but they need the networks to continue to improve and increase services."
He continued...

"Under our plans, our mobile industry will have access to the 21st Century infrastructure it needs to give UK consumers the latest technologies and even better coverage for broadband on their mobile phones."

Vodafone CEO Guy Laurence praised the idea and said...

"This is a smart move from the new Government, which has taken the time to consider the complex and far reaching implications of spectrum allocation in the UK," he said.
"We are looking forward to working constructively with Ofcom to ensure that network operators have a fair opportunity to buy the spectrum required to compete effectively in the UK market."

"A timely resolution is in the interests of developing and supporting the economy and delivering advanced mobile services to customers,"

If you would like to compare mobile broadband deals give one of our resident experts a call on 0800 083 0265 or click here to compare mobile broadband deals online.

Fibre optic broadband, home phone and digital TV company Virgin Media today said it grew customer numbers in its spring quarter for the first time since its NTL-Telewest merger.

The group added 9,100 new households on a net basis - those joining less those leaving - in the three months to June 30, which is traditionally a weak quarter.

A year earlier Virgin Media suffered a 27,800 net loss of customers but it is now benefiting from a marked improvement in demand for its cable service.

Net cable additions of 7,100 in the second quarter came as it continued to spend heavily on marketing, as well as expand its fibre optic network to more UK homes.

Fewer customers are quitting the service in a turnaround of fortunes compared with three years ago, when a bitter battle with rival BSkyB over access to basic Sky channels took its toll.

Virgin Media, which was formed four years ago, said cable disconnections fell by 2.3% in the quarter, while it also benefited from cross-selling with its other services, such as broadband and mobile.

It said growth was "the result of increased product differentiation, higher marketing spend, and investment in growth channels such as retail, where we opened 13 new stores in the quarter."

Virgin Media's ongoing efforts to extend its fibre optic network also saw the group cover another 72,000 households in the three month period.

Want to be part of Virgin Media's growing customer base?

Simple! Compare Virgin Media deals by giving one of our resident experts a call on 0800 083 0265 or click here to compare broadband, digital TV and home phone deals online.

A majority of broadband users would look elsewhere if a website charged them to view content, a new survey has revealed.

The Times is one of the first UK newspapers to charge people, via a paywall, to view full-versions of their paper on the internet, but 81% of high speed internet users would prefer to view other free daily newspaper websites rather than having to pay.

The annual survey, by KPMG, showed that the introduction of paid-for content could be a difficult thing to successfully introduce, considering users can browse the internet to find free online newspapers.

Tudor Aw, head of technology on the KPMG Europe website, said that UK broadband users are "resistant" to pay for content.

He continued; "Our fourth survey shows clear trends emerging that while UK consumers continue to be resistant to paying for content, they are more open to sharing personal data, viewing advertising and using mobile as a platform for transactions."

The survey polled 5,627 people from a total of 22 countries.

A Welsh village is the site of a trial which will see Virgin Media using existing electricity pylons to carry super fast broadband connection.

The test will be carried out in Crumlin as Virgin Media partners utility services provider Surf Telecoms to install the fibre optic broadband cables.

It is easier and cheaper using pylons to install fibre optic cables than deploying the cables through BT's underground cable network, Virgin Media says.

Richard Doble, the policy manager of Surf Telecom, a part of the Western Power Distribution organisation, said: "Western Power Distribution's electricity infrastructure reaches over 2.5 million homes across South West England and South and West Wales and, with this trial, we're exploring an innovative new approach that could bring ultrafast broadband to many customers for the first time."

Locals trialling the service should receive download speeds of up to 50 Mbps Virgin has said. The trial, which is set to begin next month, will run until 2011.

• Average broadband prices per Mbps of speed actually delivered, fell by 44% in the last year

• Customers are paying an average of £2.30 per Mbps of broadband speed actually received in 2010, versus £4.11/Mbps in 2009

• Sky tops the value for money rankings in terms of speed actually delivered versus cost (though Virgin Media tops the speed rankings)

On the back of Ofcom's latest annual broadband speed review, Simplifydigital reveals how broadband speeds actually delivered compare to prices paid by UK broadband consumers.

Charlie Ponsonby, CEO of Simplifydigital.co.uk explains

"We have taken the latest Ofcom data which reveals the broadband speeds actually received by UK broadband customers, and compared it to the prices paid."

"Our rankings show the definitive picture of who offers the best value broadband service versus speed delivered and we strongly advise reading it before buying".

The very good news is that average broadband prices per Mbps of speed actually delivered, fell by 44% in the last year.  Customers are paying an average of £2.30 per Mbps of broadband speed actually received in 2010, versus £4.11/Mbps in 2009.

Customers are paying less as average broadband speeds have increased and prices have remained largely static over the last 12 months.

There are however some big variations between broadband providers.

Winners and losers in Simplifydigital's Broadband Price v Speed Rankings

Today's Ofcom study shows that if you simply want the fastest broadband speeds available, then Virgin Media is your best bet. 

Fibre-optic (cable) broadband from Virgin Media was shown to be almost twice as fast as comparable packages from DSL broadband providers (using copper wire), such as BT, TalkTalk and Sky.

But in terms of price per Mbps of speed actually delivered, at £1.80/Mbps, Virgin Media comes second in our rankings. 

Virgin Media is beaten into second place by Sky Broadband (but only if you are a Sky TV customer). 

Sky Broadband for Sky TV customers costs just £1.41 per Mbps of speed delivered, which is the best value available in the UK today. 

However the average Sky Broadband speed delivered, according to the latest Ofcom survey, is 7.8 Mbps versus 15.9 Mbps for the equivalent Virgin Media package.

Charlie Ponsonby continues

"If you are a Sky TV customer, then Sky offers the best value broadband per unit of speed delivered, but although cheap you are very likely to get less speed than the equivalent Virgin Media package."

"So if you are a speed freak, we recommend Virgin Media, but if you think with your wallet (and you happen to be a Sky TV customer), we recommend Sky Broadband." 

What to do if you are unhappy with your broadband speed

Chris Williams, Head of Products at Simplifydigital comments

"How to speed up my broadband connection is the number one question we are asked and unfortunately there is no easy answer.  You can plead with your current provider, you can try to optimize your in-home broadband set up, and you can switch packages or provider - but the latter may not offer any improvement.  Hence we strongly advise talking to an impartial expert like Simplifydigital before doing anything".  

Customers can call our London-based experts free on 0800 083 0265 or use our online service at simplifydigital.co.uk

Broadband, home phone, digital TV and mobile broadband provider Virgin Media have released a response this morning regarding Ofcom's report that broadband providers are advertising 'inaccurate broadband speeds'.

Jon James, executive director of broadband at Virgin Media said

"Ofcom's broadband speeds report again proves Virgin Media is consistently more than twice as fast as any of our DSL competitors. Because we use a next generation fibre optic cable network, our customers can be confident of receiving 90% of the headline speed they buy from us. And we're continuing to invest in our network so we can deliver more of what our customers are paying for - whether on 10Mb, 20Mb, 50Mb or our soon to launch 100Mb broadband service.

He continues...

"Whilst Ofcom's report is good news for our customers, it's clear that our DSL competitors just aren't keeping up with their promises of 20Mb broadband. No DSL customer receives 18Mb, only 2% are receiving more than 14Mb and, on average, DSL providers are delivering just 33% of their advertised 'up to 20Mb' speed. We need to ensure people are not being ripped off and the lack of transparency in broadband advertising risks damaging consumer confidence in superfast broadband. The Advertising Standards Authority has announced a review into the way broadband is advertised and the need for change is now urgent."

Want to find out what broadband speed you can get at your home?

Easy! Compare broadband packages with Ofcom accredited Simplifydigital. Either give one of our experts a call on 0800 083 0265 or compare broadband deals online.

The gap between what broadband firms advertise as download speeds and the rates people actually get is getting wider, a watchdog report has revealed.

This is despite average UK broadband speeds increasing by 27% since April 2009.

Ofcom said ordinary internet surfers are getting no more than half the internet speed for which they signed up to.

The reality is even more stark for the three quarters of the UK's online population which still use DSL broadband, which runs through copper telephone lines rather than through fibre optics. Ofcom found DSL lines managed an average 6.5Mb a second, despite internet firms claiming speeds of "up to" 20-24Mb a second.

The watchdog's response is to revise its voluntary code of practice, of which all the main internet service providers are signatories, in an attempt to ensure fairer and more honest practice. Ofcom has added a provision which allows people to cancel their broadband deal if the broadband speeds are not up to scratch and if the firm does not fix the problem.

Ofcom's Ed Richards said: "Actual speeds are often much lower than many of the advertised speeds which makes it essential that consumers are given information which is as accurate as possible at the point of sale; this is what the new code is designed to deliver."

Firms are now being asked to use the less deceptive "typical speed range" rather than "up to" a certain speed on advertising to more accurately reflect what people will be paying for.