Companies preparing to offer new telephone directory enquiries services are receiving their new numbers from the telecoms watchdog.

About 80 companies are expected to be given new six-digit telephone numbers from Oftel in the first round of allocations, which starts on Tuesday.

Oftel decided last year to open British Telecom's (BT) near-monopoly of voice-based directory services up to competition.

It hopes competition will reduce the expense of enquiry calls, currently costing from 40p to 60p at BT prices.

David Edmonds hopes competition will reduce call costs

Extra consumer benefits may also include different languages and direct connection to requested numbers.

The new numbers are expected to be operational by September.

A spokesman told BBC News Online the new numbers would be announced on Oftel's website next week.

They will be distributed on Tuesday by lottery and will temporarily exist alongside current directory enquiry numbers 192 and 153 until August 2003.

But it is not the end of the BT directory enquiries service - because the telecom giant is among the applicants.

BT will have a new directory number

A total of 300 new numbers are available - but each company will only be allowed one in each round of allocations.

Applicants range from large household names to small specialist providers.

Oftel director general David Edmonds said the number of applications was impressive.

"By the end of the year consumers should have a choice of innovative new directory enquiry services - all operating on easily recognised six-digit numbers beginning 118.

"I expect UK consumers to see the same benefits already enjoyed by consumers in Germany and Ireland of a range of new services, lower prices and improved quality of service."

The British enquiries market is estimated to be worth an annual �250m - four times as much as the German market, despite its much smaller number of telephone customers.