The EU to settle a deal on mobile roaming charges

11.33.55am UTC (GMT +0000) Wed 23rd May 2007

The European Parliament is today expected to back a key compromise on mobile phone roaming charges which will cap charges on calls made and received abroad. Lib Dem MEP for the South West and Gibraltar Graham Watson, who has for been vocal on this issue, has welcomed the compromise reached between the European Parliament and national governments as a victory for consumers.

Speaking in the run-up to votes in the European Parliament, Graham Watson said:

"The major concerns throughout these negotiations have been to ensure consumers everywhere in Europe are properly informed about the level of tariffs they are being charged when outside their home country, to have a choice of operators and services and to be protected against abusive charges that bear no resemblance to actual costs. Mobile phone users should feel the benefits of the single market and not be penalised simply for crossing a border.

"It is only since the EU has threatened regulation that mobile operators have made any effort to lower roaming costs. The Commission has been investigating regulation for over two years and in that time mobile operators have cynically made small reductions hoping to stave off regulation. If operators were serious about reducing charges they would have also made efforts on data roaming charges.

"The proposed price cap is not excessively low and it will enable competition at even lower prices. If it works and proper competition is created then regulation will be discontinued after three years. I hope the regulation of calls will also trigger a reduction in charges for data and sms calls from abroad. The industry has had its hand slapped once, it would be wise of them to stay out of trouble in future."

Telephone companies will have one month from the time the regulation is published in the official journal, probably in mid-June, to offer customers the new pricing plan. Consumers could start to enjoy the new rates in time for their summer holidays in mid-July. Under the new arrangements, roaming charges could fall by up to 75%. The move is expected to affect more than 150 million people across Europe.