The problems British Telecommunications Plc has been experiencing as it engages in the UK internet access price war escalated again yesterday. Localtel Ltd, a small telco that has been stealing BT’s customers since it began offering toll-free subscription-free internet access a month ago, is reportedly now threatening legal action against BT for not processing customers who wish to jump ship quickly enough. Localtel claims that BT said it could handle the deluge of customers running to the free calls offer, but later admitted it had underestimated the popularity of the service, causing a three-week backlog.

Meanwhile, subscription-based internet service provider, BT Internet’s first toll-free weekend got off to a shaky start. Technical difficulties allowed subscribers to LineOne, a subscription-free ISP half-owned by BT, to dial up the 0800 toll-free numbers and enjoy a weekend of apparently 100% free internet access. It is believed the shared infrastructure of the two services allowed the loophole to open, but it is not yet clear if BT will be within its power to charge those who exploited it.