A US telecom giant will soon be offering totally free Internet access in the UK, it has been revealed.

CallNet - backed by telecom firm North American Gateway - is to offer UK Internet users a phone-charge free service. Also behind the initiative is mobile phone retailer Phones4u, and F1 Racing magazine.

The scheme goes live on November 1 and CallNet says customers will pay neither a sign-up fee or line rental. CallNet is also promising savings for its customers of up to 30 per cent over BT call-rates across the board - including local calls.

Peter Gbedemah, CEO of North American Gateway, Europe, said: "We have the technology and financial muscle to offer a quality of service that rivals British Telecom, even if every single household in the United Kingdom registers for CallNet."

To register with CallNet, call 0800 058 0800.