Ofcom has published the proposed annual licence fees for spectrum licenses in the 2100 MHz band.
This spectrum was originally auctioned in 2000, with a fixed license term of 20 years, to deliver 3G services. The licenses, which are currently held by the four mobile network operators, include paired and unpaired spectrum.
In 2011, and following a UK Government direction, we varied the terms of these licences to make them indefinite and to require the payment of annual license fees from 1 January 2022. The UK Government direction requires Ofcom to set annual license fees that reflect the full market value of the spectrum.
Ofcom proposed the following annual license fees:
£0.567 million per MHz for the 119.1 MHz of paired 2100 MHz spectrum
£0.290 million per MHz for the 20.1 MHz of unpaired 2100 MHz spectrum
Ofcom is also proposing that these fees increase by CPI each year.
Ofcom is expecting responses to this consultation by 8 September.