P525 Teletext 525 May31 20:48:14 ———————————————— NEWS ———————— BT CUTS STEP UP PRICES B—TTLE British Telecom is to cut the cost of phone calls and switch to charging customers by the second instead of the unit, the telephone giant announced. Average domestic and business bills, excluding rental, are predicted to fall by 5% from June 28, at a cost to BT of £310m a year. Local calls will be cut by 9% — and by as much as 22% at weekends. ——————————————————————————————————1/2—— Financial headlines 500 City index 501 Download and Analysj Share Prices on Your PC See Pages 532 & 533 Next CityIndex Shares Family FinanceP525 Teletext 525 May31 20:44:12 ———————————————— NEWS ———————— BT IN £350m NATWEST PHONE DEAL Telecoms giant BT has won a £350m contract to handle NatWest Bank's internal phone network for five years. Some 64 information technology staff at NatWest will now be employed by BT in one of the largest deals of its kind in the UK, a BT spokeswoman said. BT currently has a similar deal with US bank Chase Manhattan and said the whole market in the UK is worth £400m a year. ——————————————————————————————————2/2—— Financial headlines 500 City index 501 POPULAR SHARES: LATEST PRICES p516 Next CityIndex Shares Family Finance