Davy Stockbrokers is cutting its minimum charge to clients for buying and selling shares from the current £60 per trade to £20 from July.

The broker yesterday confirmed that it will introduce a full Internet share dealing service in the final quarter of the year. And it said it will become a market maker in all leading Irish shares when the Irish Stock Exchange introduces its electronic trading platform next month.

In addition to the reduction in the minimum charge Davy said its commission charges were under review and would be reduced for all types of trading. The reduction in dealing charges is being driven by an expected increase in competition in the market as Irish brokers plan new Internet services and with Irish customers expected to be targeted by foreign brokers. Declining to disclose its planned charges for the new Internet dealing service at this stage, Mr Dermot Walsh the head of private clients at Davy said that they would be lower than the charges for traditional dealing.

When the new service is operational, customers will be able to buy and sell shares over the Internet in all of the major stock markets, have access to research, pricing and valuation information, maintain multicurrency dealing deposits and get a telephone back-up service if they need it.

Customers who log on to trade through Davy Direct will get 20 seconds to decide if they want to accept the price offered on any deal.

To avail of the service customers will have to open an account with Bank of Ireland - Davy's parent company - which will be used to fund the deals. Interest will be paid on balances. Mr Walsh said Davy had not yet decided what balance would need to be maintained in the account. But he pointed out that Davy has never set a minimum size of trade despite the sharp rise in trading volumes over the last year. The service will be available to Bank of Ireland branch customers through the bank staff. Davy will use technology which is WAP (wireless access protocol) enabled - in time this will allow customers to access the services through mobile phones.