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I'd guess it's an extension. Do you have a phone socket in any of the upstairs rooms?
Looks like there are some other cables coming out of the wall, though the pic is a bit dark to see will. I'd guess they're the actual phone line and the bit you snagged will just stop some other socket working. It'll be an easy fix though, just Google phone wiring and match the colours of each wire to the correct terminal after stripping a cm or so of the shielding
duncs
Moving furniture earlier and snagged a cable that was connected to the phone socket, ripping it out in the process.
I've traced the wire and it goes up into the ceiling (and god knows where). Phone still works, alarm still works, tv and internet still work.
The phone socket was only fitted in June, as was the alarm, and the cable in question looks a lot newer than any of the existing ones.
I'm baffled as to what it might be, and don't really know how it was connected, so just covered with electrical tape for safety and left it dangling beside the socket.
Any ideas what it might be? Who do I even ask?