Virgin media is losing the low payers

But he said the loss of customers was planned as the group concentrates on higher-paying punters who use at least two of its four services - TV, broadband fixed and mobile phones.

The group made an operating loss of £333 million, down from a £3 million profit, but this was after it was forced to write off £366 million on Virgin Mobile, which it bought for £962 million two years ago.

Since then the value of pay-as-you-go mobile companies has plummeted.