The Continued Evolution of UK Connectivity: September 2024 Updates

As Openreach remains on track to build full-fibre to the premises (FTTP) to more than 25 million locations by the end of 2026, PXC remains fully committed to supporting our Partners with the transition to a full-fibre, all-IP future using Openreach access, supplemented with alternative fibre networks.

The exponential growth in full-fibre availability (See Section 4 for more information) has led Openreach to notify Communication Providers of its intent to begin retiring legacy access technologies and services on an exchange-by-exchange basis, starting with 108 exchanges - 3 Pilot exchanges initially by November 2025 (See Section 1 for more information) and then 105 further exchanges between 2028 and December 2030. (See Section 2 for more information)

At the same time, they are also withdrawing their legacy Voice infrastructure (PSTN) which supports their Wholesale Line Rental services (WLR). Whilst Openreach have recently extended the deadline for this withdrawal to January 2027, PXC wish to move most customers off WLR by the original December 2025 wherever possible. (See Section 3 for more information)

PXC therefore remains committed to supporting you and your customers and can help with plans to migrate away from legacy WLR voice services impacted such as PSTN single line, PSTN multi line and ISDN products and the legacy broadband access services which run on WLR such as SMPF, WBMC and WLR+FTTC. (See Section 5 for more information)

Partners are reminded that our MPF products remain a compelling holding option or migration option to replace WLR, in locations where the exchange is unbundled for MPF, not marked for future closure or under FTTP Priority copper stop sell rules.

Please do not hesitate to contact your Account or Service Manager, or alternatively contact us at exchangeevolution@pxc.co.uk

1. Openreach Exchange Exit Pilot (3 exchanges in 2024)

Key Message - on 23rd July 2024, Openreach announced further changes to the Pilot with an extension to the exit date for the 2 exchanges planned for September 2024 through to 30th November 2025.

Openreach originally announced their Exchange Exit Pilot in 2021, and advised that they intended to fully close 5 local exchanges in 2024:

• 1 exchange in March 2024 (Deddington)

• 4 exchanges in September 2024 (Kenton Road, Carrickfergus, Ballyclare and Glengormley)

In December 2023 however Openreach announced some changes to the Pilot and reduced the exchanges targeted from 5 to 3 exchanges:

• 1 exchange in March 2024 (Deddington)

• 2 exchanges in September 2024 (Kenton Road and Ballyclare)

The Carrickfergus and Glengormley exchanges that were originally in the Pilot but were formally withdrawn by Openreach have been moved to Phase 1 (April 2028), however PXC plan to extend the learning from the 3 remaining exchanges in the Openreach Pilot and have chosen to work with selected partners to migrate appropriate copper and ethernet lines to alternative all IP products in 2024/25 at these additional 2 exchanges (see Section 5 for more information on our plans).

In July 2024 Openreach announced further changes to the Pilot and pushed the target exit date for Kenton Road and Ballyclare to 30th November 2025.

Progress Update

All pilot exchanges have already been announced as FTTP Priority Stop Sell exchanges and have been in FTTP Priority Status (Copper Stop Sell) since April 2022. The Copper Stop Sell rules for these exchanges have been extended to include all copper-based services, irrespective of whether FTTP is available at the premises.

The first of the 3 Pilot exchanges, Deddington, is not a LLU exchange (i.e. no MPF technology), and this has meant we only had small number of Partner WLR lines impacted by the proposed closure date. Most of these lines have migrated to FTTP, however a handful of the lines remain on WLR, with special exemptions agreed with Openreach due to the fact they are used by vulnerable customers with telecare devices.

However, Openreach’s exit plans for the other 2 exchanges in the Pilot, Kenton Road and Ballyclare will impact a significantly larger number of Partner lines, as these exchanges support MPF as well WLR based copper voice and broadband services (including FTTC and GFAST).

We will continue to work with Partners, as all copper based will need to be transitioned to All IP Products by the exchange closure date. The alternative All IP products available to Partners will predominantly be FTTP (90% coverage currently) or alternatively SOGEA (10% coverage) where FTTP is not available or not suitable, both will be available with Digital Voice where required. Note - The All IP products (FTTP and SOGEA) terminate in the Metro (Parent) exchange meaning that they no longer have a dependency on the local exchange for traditional voice or broadband services.

Openreach has also put a Stop Sell on the new provision of any Ethernet (EAD) circuit that terminates or traverses these exchanges. Any new EAD circuits required at premises served by these local exchanges must be ordered so that they terminate in an exchange that is not one of the five Full Local Exchange Exit Pilot exchanges and cannot traverse via these 5 exchanges to an alternative exchange.

In addition to this, all Ethernet (EAD) services that terminate on, or traverse, these exchanges must be redirected so that they terminate on or are redirected via other exchanges. Openreach has agreed to fund Mainlink charges to “long-line” existing EAD circuits from these 3 exchanges to different (probably Metro) exchanges.

Key Message and Next Steps – to prepare for exchange exit between now and November 2025 we recommend reviewing your assets to understand what lines are impacted, and to identify any CNI or heavily impacted features like lifts, fire alarms and vulnerable customers.

2. Openreach Exchange Exit Phases 1-4 (105 exchanges between 2028 to 2030)

Openreach have announced that they intend to fully close 105 exchanges between April 2028 and the end of 2030. This will involve fully withdrawing MPF based products at these exchanges (the expectation is that WLR will have been withdrawn nationally by then). Ethernet (EAD) circuits that terminate or traverse these local exchanges will need to be redirected or transferred to a Metro exchange or nearby local exchange.

The full exchange closures will be performed in tranches between 2028 and 2030. The timelines for these 105 exchanges are:

Phase 1 - 12 exchanges to be closed by April 2028 (was previously December 2027) includes the 2 exchanges moved from the Pilot.

Phase 2 - 20 exchanges to be closed by April 2029 (was previously December 2028)

Phase 3 - 30 exchanges to be closed by April 2030 (was previously December 2029)

Phase 4 - 43 exchanges to be closed by December 2030

Note – 25 of the 105 exchanges are now in Copper Stop Sell, with a further 11 due to go into Copper Stop Sell in next 12 months.

For a breakdown of exchanges in each tranche please see the Table in the Appendix at the end of the blog.

3. WLR Stop Sell and WLR National Withdrawal – still targeted for December 2025 with extension to 31st January 2027 for Complex lines.

Important Note: MPF (including MPF-based broadband) is not impacted by WLR National Stop Sell or National Withdrawal.

WLR and WLR-based broadband products (using WBMC, FTTC or GFAST) were placed under National Stop Sell by Openreach on 5th September 2023*. Openreach were originally planning to complete the full National WLR Withdrawal by December 2025, however as part of the release of the BT Group Financial results for FY24, they announced that the WLR national withdrawal timescales will be extended by additional 13 months to 31st January 2027 under certain conditions.

Openreach have since confirmed that they expect all CPs to continue migrating WLR assets at pace and try where possible to stick to the original December 2025 deadline and have clarified the change in date is to:

• Allow CPs additional time to support vulnerable and telecare customers.

• Allow CPs additional time to identify complex and CNI lines

• Allow CPs additional time to consume All IP products including niche products (such as SO TAP)

• Allow CPs additional time to safely migrate the vulnerable/telecare customers and other complex and CNI services.

Openreach continue to stress to CPs that the programme is NOT delayed, and they want us to keep up momentum with our Partners and aim for December 2025 where possible.

To support this Openreach have also announced that they plan to terminate existing WLR contracts in December 2025 and will instead introduce a new rolling 3-month contract for all remaining WLR lines after this date. This contract change has specifically been put in place to help deal with non-responsive CPs and end customers. For example, Openreach will also have the option to introduce service restrictions on the remaining WLR lines beyond December 2025, just as they did recently for non-responsive CPs/customers on the Salisbury and Mildenhall exchanges.

Partners are reminded that PXC MPF services are not restricted by the National WLR Stop Sell and Withdrawal. It will still be possible to order MPF copper lines and MPF-based connectivity products on PXC enabled LLU exchanges irrespective of whether SOGEA or FTTP is available, including ADSL, FTTC, GFAST, EFM and EoFTTC, unless copper restrictions rules are in place at either i) FTTP Priority exchanges (where FTTP is available) or ii) at the Kenton Road and Ballyclare Openreach Pilot Exit exchanges.

Note - Product options for non-PXC enabled LLU exchanges will vary due to the unavailability of MPF in these exchanges and will therefore be limited to either FTTP or Single Order based products (SOGEA or SOADSL), along with Digital Voice if required.

Key Message - Existing WLR-based services that were provisioned before the WLR Stop Sell came into effect will continue to be supported but must be moved to an alternative product ideally before December 2025.

Next Steps – We therefore recommend that all ongoing activity to migrate off WLR products should continue at pace. To prepare for WLR withdrawal we recommend reviewing your assets to understand any CNI or heavily impacted features like lifts, fire alarms and vulnerable customers.

* Openreach extended the deadline for ‘exceptions’ to the WLR Stop Sell rules through to March 2025, these ‘exceptions’ allow the continued placement of WLR orders but only where FTTP and SOGEA is not available. This is to allow time for CPs to consume the SOTAP product. After March 2025, it expected that only SOTAP and MPF may be ordered where FTTP and SOGEA are not available. For full details of other Openreach exemptions please visit the Openreach All IP Programme website here.

4. FTTP Priority Exchanges - Copper Stop Sell

As part of Openreach’s aspiration to drive FTTP uptake in the UK, they have started imposing Copper Stop Sells at exchanges where they have invested heavily in deploying FTTP capability, these are known as FTTP Priority exchanges.

FTTP Priority status stops new orders for copper lines (WLR and MPF) and copper-based connectivity (ADSL, FTTC, SOGEA, GFAST, SOGFAST, EFM and EoFTTC) if the applicable premise has FTTP availability.

These restrictions will also apply to moves, adds and changes of existing lines. Migrations between providers and upgrades of existing lines to other copper-based products (e.g. ADSL to FTTC upgrades) as well as speed changes on FTTC (e.g. 40 to 80Mbps) modify orders will no longer be supported by Openreach.

FTTP Priority status and Copper Stop Sell can only be triggered when FTTP coverage has reached 75% of all premises in the Exchange area.

If a premise is enabled for FTTP provisioning after the Stop Sell is already in effect, then the Stop Sell restrictions immediately come into effect for both WLR and MPF.

Where FTTP is not available, MPF copper lines, as well as MPF-based broadband products, can still be ordered as usual. (WLR is only available from 5th September 2023 as an exemption when either FTTP or SOGEA are unavailable).

Note - MPF-based products on FTTP Priority Stop Sell exchanges do not need to be migrated off copper unless that exchange is one of the 108 selected for closure as part of the Exchange Exit Pilot and Exchange Exit Phases 1 to 4 (See Table 1 below for list of the Exit exchanges).

Clarification - The conditions Openreach must meet before withdrawing MPF-based services at FTTP Priority Exchanges will be set by Ofcom in the next Wholesale Fixed Telecoms Market Review. Any new regulations announced as part of this review will take effect in April 2026. The End-of-Life dates will be the dates by which all MPF-based services must be moved to FTTP where available. WLR and WLR-based broadband products will have already been withdrawn nationally by this point. Any MPF withdrawal notification announced by Openreach on an FTTP Priority Stop Sell exchange will give at least 12 months’ notice.

PXC expect Openreach to announce price rises on MPF-based services to encourage migration to FTTP in due course. Before doing so they must give at least one year’s notice and meet criteria yet to be set by OFCOM.

FTTP Priority Exchange – Numbers update

The first FTTP exchange to go into Copper Stop Sell was the Salisbury trial exchange, where the Stop Sell commenced in December 2020. Since this date Openreach have made quarterly announcements on future tranches of exchanges that will be targeted for FTTP Priority status.

As of August 2024, Openreach has announced a total of 1096 FTTP Priority Stop Sell exchanges. In August 2024 39 exchanges from Tranche 13) went into Stop Sell, and Tranche 17 (92 exchanges) was the latest announced set of exchanges.

In total 748 exchanges are now actively in Stop Sell, with ~7.3m premises on those exchanges now able to get FTTP. The remaining 348 announced exchanges will go into Stop Sell over the next 12 months. More announcements of future tranches will continue to be made quarterly.

Note - Openreach will always give 12 months’ notice between announcing a new tranche and invoking the Stop Sell in that tranche. If an announced FTTP Stop Sell exchange has not hit the minimum FTTP premises passed level of 75% by the Stop Sell date, the Stop Sell will be postponed for that exchange, or could be cancelled altogether. Openreach has already removed some previously announced exchanges from their FTTP Priority Stop Sell plans, due to ‘complex build issues currently preventing the 75% total homes passed (THP) metric being achieved’.

Here are the next tranche updates you need to know about, a total of 348 additional exchanges are due to go into Stop Sell in next 12 months:

• Tranche 14 – containing 47 exchanges, is due to go into Stop Sell on 8th November 2024.

• Tranche 15 – containing 51 exchanges, is due to go into Stop Sell on 17th February 2025.

• Tranche 16 – containing 88 exchanges, is due to go into Stop Sell on 26th May 2025.

• Tranche 17 – containing 92 exchanges, is due to go into Stop Sell on 19th August 2025.

• Note – an additional 70 exchanges have been announced, but no dates have been confirmed yet by Openreach.

See Table 2 in the Appendix at end of the blog to view the current list of Stop Sell volumes per Tranche.

For full details of the Openreach briefing, including a link to the latest impacted exchange list, please click here.

5. PXC plans in response to the continued evolution of UK connectivity.

PXC are striving to be ahead of the curve described in sections 1 to 4 above and have already engaged several of our partners, and wider industry to make sure that we are well prepared for each of the key projects. We have completed a trial exiting 10 of our quietest exchanges, participated in Openreach’s pilot migration in project Belfast (this includes selected lines at Carrickfergus and Glengormley exchanges even though they were officially removed from Openreach’s pilot exchange exit plans in 2024), and the removal of all WLR lines in the trial at the Salisbury and Mildenhall exchanges. All of this was undertaken to design and refine both the internal and industry processes that will be so essential to the success of the UK’s transition.

Next on the agenda of changes by Openreach, is the closure of 2 additional exchanges (Kenton Road and Ballyclare) by November 2025 as part of its Exchange Exit Pilot Programme. The Pilot commenced with the Deddington exchange, where the March 2024 closure deadline has now passed and only WLR lines under telecare exemptions remain. Work will continue with the Kenton Road and Ballyclare exchanges, to help achieve migration of all our copper lines ahead of the new November 2025 closure date.

Alongside these 3 exchange closures, we are starting our programme to withdraw legacy products that are associated with copper networking, such as SMPF*, EFM, CPS & GFAST, all of which will end with the ultimate withdrawal of WLR services by the end of January 2027.

With the launch of SOGEA and FTTP, as well as the continued operation of our MPF Network beyond WLR withdrawal deadlines, we can offer a choice of future proof destinations.

*Note - Partners impacted by our early withdrawal plans on SMPF at certain exchanges will be contacted directly to agree way forward – see below.

PXC Response to Openreach extensions to the WLR Withdrawal and Exchange Exit dates

Following the WLR stop sell in September 23, Openreach had previously planned for all CP’s to move customers off WLR by December 2025 however as stated above this has now been extended to 31st January 2027 under certain conditions.

The newly announced dates for WLR National Withdrawal will give CPs an additional 13 months to migrate customers. The extension is primarily aimed at Complex and vulnerable migrations, we will continue to support partners with current plans to migrate away from legacy copper services.

Openreach have issued some clear guidance around this extension:

• The expectation is that CP’s continue migrating WLR at pace and very much aim at the end of 2025 for all standard services.

• The WLR and Exchange Exit extensions are focused on giving CPs more time to identify and safely migrate their vulnerable customers and complex use case scenarios.

• Exchange exit plans will continue following Deddington (March 24), with the remaining 2 Pilot exchanges now due to exit by November 2025, with a further 105 exchanges closing between April 2028 and December 2030.

• FTTP Priority Programme will continue to grow at pace. 748 exchanges are currently in Copper Stop Sell only offering FTTP (where available) and a further 348 exchanges will have Copper Stop Sell rules applied over the next 12 months.

• MPF is currently still an option for a large majority of WLR customers - if the serving local exchange is unbundled for MPF and FTTP stop sell and exchange exit stop sell rules are not in place.

It’s also important to note that Openreach will terminate existing WLR contracts in December 2025, replacing them with a 3-month rolling contract they will utilise as well as potential service restrictions if not seeing enough traction from CP’s.

What happens next?

Our approach will remain consistent:

• MPF remains a compelling holding option in locations where the exchange is not marked for closure in the Exchange Exit Pilot or FTTP Priority status.

• Migrating to MPF now extends the window on copper to at least 4 years away with only an additional 12 of over 5k Openreach exchanges due for closure within that timeframe.

• We have additional SOGEA and FTTP journeys coming online over the coming weeks to facilitate more migrations.

• We will be continuing with our plans to end of life of WLR based products; such as SMPF, EFM, CPS & GFAST, in FY25.

• We are beginning our programme to migrate services away from SMPF imminently and have already started to engage partners.

We are starting to engage directly with any relevant Partners to run through the detail of the services and plan how we will support in the migration of existing products, or the transformation of any legacy products to Full Fibre solutions.

We have mapped all these services to their migration options, and we will engage with impacted Partners to run through the options available across those services and how we can support them though the journey.

PXC is committed to supporting our Partners with the leap to full-fibre.

PXC has launched Managed and Wholesale (Layer 2) FTTP services to utilise the growing availability of FTTP and support Partners in transitioning customers impacted by Stop Sells at FTTP Priority exchanges. The service is available via our new FTTP ordering portal and complemented by APIs to support Sales and Provisioning journey automation.

PXC will further support Partners with transitioning their customers to an all-IP future by providing Managed and Wholesale SOGEA. These products are currently in trial and will be released in the coming months. A single line PSTN VoIP solution for use with Managed FTTP and SOGEA is also being developed. Testing of this solution has begun, and it will be deployed in H2 2024.

PXC Availability Checkers

All our Availability Checkers (Portals and APIs) will show the correct product availability on Stop Sell exchanges and advise where copper-based products are no longer available due to Stop Sell.

Critical National Infrastructure (CNI) is of key importance.

With Stop Sell well underway, it is important for Partners to analyse the impact to Critical National Infrastructure (CNI) locations within Stop Sell exchanges. CNI is a subset of Stop Sell data and should be a focus for Partners to ensure a smooth transition for customers.

PXC would like to work with our Partners to help identify their CNI lines and work through the analysis steps with you. We have been analysing our lines and are at a point where we can share more data and insight for those with CNI services that will be affected by Stop Sell.

If you would like to know if our CNI data can help you and your customers, please get in touch with your Account Manager who will be more than happy to work on this with you. We're here to help you with your analysis and next steps of planning.

We recommend partners start preparing for all aspects of exchange evolution by reviewing their PXC provided assets and gain an understanding of any CNI or heavily impacted features like lifts, fire alarms and vulnerable customers.

PXC remains committed to supporting you and your customers, if you have any further queries or would like more information on how we can help with your WLR withdrawal, Exchange Closure, Copper Stop Sell and CNI analysis requirements, please do not hesitate to contact your Account or Service Manager, or alternatively contact us at exchangeevolution@pxc.co.uk

Finally remember if there are any changes within your organisation, inform PXC of changes of contact details, or ideally look to setup a specific generic managed mailbox for Exchange Evolution comms and updates, for example exchange_evolution@<yourcompanyname>.com that can be accessed by multiple people within your organisation, so we can keep in touch with you via one central place.

Appendix

Table 1 - Openreach Exchange Exit list for Pilot (3 exchanges) and Phases 1 to 4 (105)

Bold – exchange already in FTTP Priority Copper Stop Sell status.

Italics – exchange not a PXC LLU exchange.

Table 2 - FTTP Priority Exchange list (up to and including Tranche 17).