UK retailers and wholesalers face significant challenges as they head towards the nationwide 2025 public switched telephone network (PSTN) switch-off, according to a new survey.
The research, commissioned by global cloud and connectivity provider M247, has found that an overwhelming majority (93%) of retail and wholesale businesses are still reliant on the PSTN for essential services, such as analogue phone lines, broadband, CCTV cameras and many PDQ card payment devices.
This is despite the imminent PSTN stop-sell this September, which will render businesses unable to place any new orders for PSTN services, or make significant changes to existing services, effective immediately. This is set to be followed by a full deactivation of the network by 31 December 2025.
September’s PSTN stop-sell could have a potentially paralysing impact on ill-prepared retailers, given that it coincides with the ‘Golden Quarter’. The detrimental impact that disconnected landlines will have on the customer experience at such a key trading period has the potential to hugely impact on sales.
And this possible disruption goes far beyond landlines, with many retailers still running card payment machines and other systems, such as store alarms, on PSTN landlines.
The PSTN is a network of copper wires that has kept the UK connected since the 1800s. Its owner, Openreach, will be switching the network off in December 2025 due to increasing difficulties associated with maintaining the now aged infrastructure, as well as evolving communication styles and habits. All businesses that still use older analogue phone lines or broadband connections, as well as services such as lift lines, EPOS systems, and CCTV cameras need to migrate to digital services ahead of the switch-off.
Significant interruptions for retailers
Over half of UK retail and wholesalers understand it can take as long as six months to migrate away from PSTN. However, despite this, and awareness of the PSTN switch-off being high among three in four (74%) businesses within the sector, little to no action has been taken. The majority (60%) said they still rely on PSTN for broadband, and 53% for analogue phones, which are essential for most retailers and wholesalers today that deal with customer queries, orders, complaints and more.
Liz Hawke, Product Manager UC&C at M247, said: “The UK’s PSTN switch-off will mark a historic change for business communications and a major leap forward in the country’s adoption of digital technologies. However, despite widespread awareness of the fast-approaching switch-off, and the final stop-sell which is a matter of months away, an overwhelming majority of UK retailers and wholesalers have failed to take action when it comes to migrating away from the network.”
She adds: “It’s important for retailers to act now, rather than later, and adopt the right IP technology for their needs to avoid security risks and disruptions in months to come. Having access to the latest connectivity services has become vital for businesses who want to remain competitive in today’s digital age.”
For more information on the PSTN switch-off and how it will affect your business, visit www.m247.com/.