Thus is launching a new DSL (Digital Subscriber Line) product, Demon Express Solo, on March 18.

The self-install product - customers install USB, DSL, modem and telephone socket filters - costs £24 per month with a £50 set-up fee.

Customers receive full Internet access with unlimited email addresses, and up to 512KB downstream bandwidth and 256KB upstream.Demon Express Solo provides always-on Internet access.

Announcing the new product, Bill Allan, Thus chief executive, said: "BT's announcement that it is cutting the cost of DSL was a bold move, and has enabled us to offer a compelling product to our customers.

"We applaud BT's initiative and now encourage it to be equally aggressive in unbundling the local loop, to enable a greater range of services to be offered to Broadband Britain."