Quantum cryptography exploits the fact that an unknown quantum state cannot be accurately copied or measured without disturbance. By using such elementary quantum states to represent binary information it is possible, therefore, to construct communication systems with verifiable levels of security that are 'guaranteed' by fundamental quantum mechanical laws. This paper describes recent progress at BT Laboratories in the development of practical optical fiber- based quantum cryptography system. These developments include interferometric systems operating in the 1.3 micrometers - wavelength fiber transparency window over point-to-point links up to approximately 50km in length and on multi-user passive optical networks. We describe how this technology performs on fiber links installed in BT's public network and discuss issues such as cross-talk with conventional data channels propagating at different wavelengths in the same fiber.