Issue of Index-linked Notes Due 2025

British Telecommunications PLC
30 March 2000


BRITISH TELECOMMUNICATIONS public limited company (the 'Issuer')
£250,000,000 3.50 pct.INDEX-LINKED NOTES DUE 2025 (the 'Notes')
ISSUED PURSUANT TO THE ISSUER'S EURO MEDIUM TERM NOTE PROGRAMME
                            

British Telecommunications public limited company
announces the issue of £250,000,000 3.50 per cent. Index-
Linked Notes due 2025 (the 'Notes').  The Bookrunners to
the issue are Barclays Capital and HSBC Bank plc.
Cazenove & Co. Limited has been appointed as joint lead
manager.

The Notes have been priced to yield a margin of 180 basis
points over the real redemption yield of the 2.5 per
cent. Index-Linked Treasury Stock due 2024.  The issue
and re-offer price has been set at 98.657. per cent.

Interest will be payable semi-annually in arrear on 25
April and 25 October in each year, the first such payment
being made on 25 October, 2000.

The Notes will be redeemed at their indexed principal
amount on 25 April 2025.

The proceeds of the issue will be used for general
corporate purposes.

Application will be made for the Notes to be admitted to
the Official List of the London Stock Exchange.  It is
expected that official dealings will commence on
26 April 2000.  Prior to official listing, dealings will
be permitted by the London Stock Exchange in accordance
with its rules.

In connection with the issue, HSBC Bank plc may over-
allot or effect transactions which stabilise the market
price of the Notes at levels which might otherwise not
prevail.  Such stabilising, if commenced, may be
discontinued at any time.


Enquiries:

British Telecommunications    
plc                           [phone]
Andrew Longden, Group
Treasurer
Corporate News Room           [phone]

Barclays Capital              
Paul Avery                    [phone]

HSBC Bank plc                 
Nick Medd                     [phone]