BT and Yahoo have signed a long term extension of their strategic broadband partnership, which began in September 2003.

As a result all new and existing BT Broadband customers twill be able to take advantage of the the 'Yahoo! broadband experience' as from October 24th.
All BT of Broadband customers across all four of their broadband options will now receive services including a premium level radio station, access to the Web's largest catalogue of music videos streamed at higher bit rates, a personalized broadband homepage with access to more than 750,000 content sources from across the Web, award-winning premium e-mail with industry-leading spam protection with 2 gigabytes of storage for primary accounts.

It has also announced changes to it's range of packages, BT Broadband Option 1 will now provide access to a premium Yahoo! broadband experience and a full range of leading tools and services with the price remaining at £17.99 a month.
A new package, BT Broadband Option 2, is priced at £22.99 a month. This will additionally offer a wireless router from just £25 and enhanced security including PC anti-virus and firewall software for further protection. Options 3 and 4 will offer a wireless router for free along with other enhanced features.

It also seems that the existing iTunes promotion is also included, details at BT.