Calling party pays meaning

calling party pays (CPP) describes the standard charging model in the UK and Ireland in which the person who initiates a telephone call pays the retail charge and the recipient does not pay to receive the call. It is not a defined statutory term but a descriptive expression widely used in telecoms regulation, interconnection agreements and consumer contracts. In practice, the originating communications provider bills its customer for the call and pays a (typically regulated) termination rate to the network that completes the call. These wholesale and retail arrangements are regulated by Ofcom (UK) and ComReg (Ireland). Usage and effect are broadly consistent across England & Wales, Scotland, Northern Ireland and Ireland, with differences mainly reflecting numbering plans and price caps. Common exceptions include reverse-charge/collect calls and toll-free/Freephone services (for example, 0800/0808 in the UK and 1800 in Ireland), where the called party funds all or part of the cost. By contrast, a receiving party pays (rpp) model allocates call charges to the called party.