A wholesale charge levied by a payphone operator to recover the
costs of originating free‑to‑caller calls made from payphones (for example, to 080 and 116 ranges in the UK and 1800 and 116 ranges in Ireland). The caller pays nothing; the charge is recovered from the called party’s communications provider or service provider.
The term is not a statutory definition but a descriptive expression widely used in telecoms regulation, regulatory determinations and inter‑operator agreements. It reflects the called‑party‑pays model for freephone access from payphones.
Key features and usage:
- Applies only to qualifying free‑to‑caller number ranges when dialled from payphones.
- Set and billed by the payphone operator (as the originating communications provider) at wholesale level, often alongside any origination charge.
- May be constrained by regulatory obligations (for example, fair and reasonable terms or cost‑orientation) and is a recurrent subject of pricing disputes and pass‑through clauses.
- Material to drafting interconnection, hosted number and freephone service contracts, budgeting for campaigns, and assessing liability for payphone‑origin traffic.
Jurisdictions: In England & Wales, Scotland and Northern Ireland, oversight is by Ofcom; in Ireland, by ComReg. Usage is broadly consistent, though specific rates and regulatory conditions differ and evolve.