A method and system are described for improving operating efficiency and QoS in a cellular communications network. According to an exemplary embodiment, the method includes predicting background interference levels due at least partly to signals generated in neighboring cells, and transmitting operating parameters to user equipment that include power, frequency, and/or spectral efficiency parameters. The operating parameters are selected according to the predicted background interference to provide acceptable quality of service while also optimizing use of available bandwidth. The method further includes updating the background interference predictions, and transmitting revised operating parameters to the user equipment according to rules that minimize changes to operating parameters that strongly affect background interference in neighboring cells, such as power levels and frequencies, thereby minimizing background interference fluctuations. Power levels for user equipment entering the cell can be initially minimized, and then slowly ramped to an optimal level. SPS can be implemented.