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Telewest is expected to knock around a third off the price of its high-speed Internet service before the end of July.

The telecomms company is gearing up for an announcement on July 24, when it plans to cut monthly charges for its 512Kbps Blueyonder cable modem service from £50 to £33. It will also drop the one-off £50 installation fee, according to "latest rumours" on the Cablenews Website, which quotes a "previously reliable source at Telewest".

The cheaper pricing would bring Telewest's Internet package more into line with its rivals - BT charges £39.99 for the equivalent service.

And it would also boost Blueyonder's profile. Telewest has run into problems over the nationwide roll-out of the service while "perfecting the system", and this has caused delays in most regions. It was launched in March in the south east, and was scheduled to have been in the north west and Scotland by this month.

But the service currently still only operates in the south east, with availability in Scotland and the north west promised "very shortly". No dates were available.

Two months after launching Blueyonder Telewest was rumoured to be dumping the service and starting a joint venture with Dutch broadband service chello.

In regard to the £33 price, a Telewest representative today put the figure down to "rumour", but added that the company was "aiming to be the most competitively priced in the UK for the high speed Internet market."

And the culling of the £50 installation fee and July 24 date? "We will continue to monitor service charges now and in the future (but we will not be commenting on today's rumours)," Telewest stated. ®

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