The company had been expected to announce details of the cuts at a news conference today (7 February) when it reported its financial results for the third quarter ending 31 December 2001.
Despite the delay, e-commerce minister Douglas Alexander said: "The approach announced by BT today is welcome news. As e-commerce minister I publicly challenged BT five months ago to set fair, lower prices for businesses and consumers, so they must work to translate these ambitions into achievements."
BT Group reported a pretax profit excluding one-off items of £850m, compared to £760m a year ago.
During the quarter the company sold its mobile subsidiary, mmO2, and wound up its Concert Communications partnership with AT&T. Excluding these and other operations that have been discontinued, the company reported a pretax profit on continuing operations, excluding exceptional items, of £381m, down from £483m for the same quarter last year.
The group reported a year-on-year drop in revenue for the quarter, from £5.25bn to £5.07bn. However, revenue from continuing operations rose, from £4.37bn to £4.66bn and the company reduced its debt by £2.9bn to £13.6bn during the quarter.