The digital services company Telewest has been rapped by the Advertising Standards Watchdog (ASA) for falsely suggesting that its broadband service was available to all of its customers.

The company aired a radio ad that suggested all customers in a Telewest area would be able to benefit from its combined broadband, TV and phone service for £30. In reality, nearly 4% of Telewest customers are unable to receive the digital service and therefore not eligible for the offer. Attempts by the company to argue that stating "conditions apply" would cover this eventuality were rejected by the ASA.

The Office of Fair Trading (OFT) today announced that it will not refer the proposed mergers of Sky and Easynet, and Telewest and NTL to the Competition Commission. The announcement removes any regulatory barrier to the mergers proceeding.

Sky is looking to break into the DSL market with its proposed acquisition of Easynet. This would enable the satellite broadcaster to extend its reach and provide its programming through standard broadband connections, removing the need for subscribers to install a satellite dish.