Select committee inquiry

Rural broadband and digital-only services

Closed

Environment, Food and Rural Affairs Committee · Opened 31 October 2014 · Closed 27 March 2015

3 recommendations · 15 conclusions
Inquiry on parliament.uk ↗

What the inquiry looked at

“The Government aims to provide universal access to standard broadband with a speed of at least 2 Mbps and to ensure superfast broadband is available to 95% of UK premises by 2017. Broadband Delivery UK (BDUK) is responsible for managing the Rural Broadband Programme. From January 2015 all applications for the new Common Agricultural Policy (CAP) schemes will have to be made online. The Rural Payments Agency has committed to providing “a range of additional support” for customers who can’t get online, don’t have access to a computer or don’t have the necessary skills to use one. This inquiry will examine the current broadband coverage in rural areas and the new digital-only services. It will also look at the “Assisted Digital” support being offered. Terms of reference: Rural broadband and digital-only services”

The committee's words, from the inquiry page on parliament.uk ↗.

What it found

In the committee's words, from the summary of 7th Report - Rural broadband and digital-only services ↗

Access to broadband can be an unexpectedly emotive and complex subject. Written evidence the Committee has received explains how poor broadband can lead to a range of problems: from reduced access to online learning resources for students, to families being unable to use everyday online services such as BBC iPlayer and rural businesses being powerless to function in an increasingly online marketplace. Overall, poor broadband can produce a feeling of a two-tier society with the ‘have and have nots’.

This feeling is most apparent in rural communities which by their geographical nature are often the hardest for the infrastructure to reach.

We were concerned to hear BT tell us that the present target of 95% of premises receiving superfast broadband by 2017 may slip. Broadband Delivery UK (BDUK)

must make it clear that the target date must be met. A target date for when the last 5% of premises will obtain access to superfast broadband coverage must be published.

The move to an online-only Common Agricultural Policy (CAP) system for payments this year provides a clear example of how online-only services often need to be accessed by those located in geographical areas which are difficult for current broadband infrastructure to reach or for good coverage and speed to be provided. CAP payments offer a prime example of the wider Government policy to make services ‘digital-by-default’. This policy has clear ramifications when broadband access is limited or non-existent.

Without doubt, access to broadband is increasing, through Government and industry investment in infrastructure, but there is more to be done. The difficult geographical nature of some communities must not be used as an excuse for a lack of broadband or poor broadband speeds. These challenges should encourage investment and innovation in new types of technology.

The Government must continue to support this progress. It is vital that the last premises in the UK to have access to basic and superfast broadband are treated just as well as the first premises and are not left behind or forgotten.

What the government said

The government responded on 26 March 2015.

Summary written by Accountability Index from the government's response.

The Government states that the rural broadband timetable is "on track", welcomes the report, and sets out commitments on superfast coverage, satellite subsidies and pilot reviews, while declining to change some of the Committee's recommended approaches.

  • On the 2Mbps universal service commitment, the Government "has no plans to change" it, but is "looking to raise" the Universal Service Obligation to 5Mbps and "will consult on this change early in the next Parliament".
  • The Government says it will launch a scheme "later this year" with local bodies to subsidise installation of superfast capable satellite services in the hardest to reach areas.
  • The Government "agrees with the Committee" that technologies other than Fibre to the Cabinet will be required in some locations, and will review evidence from the seven market test pilots "later this year".
  • On publishing rollout information to address level, the Government says this "runs the risk of being misleading", and instead requires local authorities to publish plans to 7 digit postcode level as a funding condition for phase two.

How the inquiry ran

Each dot is a dated item listed on this page, from the inquiry's opening on 31 October 2014 to its close on 27 March 2015.

  1. Oral evidence 2 sessions
  2. Report 3 Feb 2015
  3. Government response 26 Mar 2015

What it recommended 3 recommendations · 15 conclusions

1We have been keen throughout this inquiry to make sure that enough focus is placed...
Concluded (the committee's words)
We have been keen throughout this inquiry to make sure that enough focus is placed on those who have no access to superfast broadband. There is a risk in the current approach that improving service for those who already have it will leave even further behind the 5% of premises who have none. There is a risk of poor rural broadband availability causing harm to farm businesses and the rural economy. It is essential that those who are ‘hardest-to-reach’ are given priority.
2Repeated changes in target dates for rollout of superfast broadband inevitably reduce confidence that coverage...
Concluded (the committee's words)
Repeated changes in target dates for rollout of superfast broadband inevitably reduce confidence that coverage will be achieved on time. They also leave those in the hardest-to-reach areas uncertain as to when their businesses will be able fully to engage with digital practices. Beyond business purposes, householders, particularly in rural communities, are being left behind in accessing online services that most of the country can take for granted. Activities as diverse as children’s homework, online tax returns, and simply watching television now depend significantly on good online access.
3We were concerned to hear BT tell us that the present target of 95% of...
Concluded (the committee's words)
We were concerned to hear BT tell us that the present target of 95% of premises receiving superfast broadband by 2017 may slip. Broadband Delivery UK (BDUK) must make it clear that the target date must be met. A target date for when the last 5% of premises will obtain access to superfast broadband coverage must be published.
4For many services, 2 Megabits per second (Mbps) is already an outdated figure, and 10...
Recommended (the committee's words)
For many services, 2 Megabits per second (Mbps) is already an outdated figure, and 10 Mbps is increasingly recommended as a suitable USC for standard provision. The Government must reassess whether the 2 Mbps Universal Service Commitment remains a valid one.
5Millions of pounds are being invested in the rollout of superfast broadband at 24 Megabits...
Concluded (the committee's words)
Millions of pounds are being invested in the rollout of superfast broadband at 24 Megabits per second. Within three years of the expected delivery date, however, that speed will no longer be considered ‘superfast’ by European standards.
6Councils need access to timely data from BT that allows them accurately to monitor take-up...
Concluded (the committee's words)
Councils need access to timely data from BT that allows them accurately to monitor take-up of broadband. Equally, they need access to timely data from BT about planned broadband coverage and speed. It has been argued that distributing information about broadband coverage on a postcode by postcode basis can be misleading. An ‘enabled’ postcode does not necessarily mean that each premise within the postcode is enabled.
7We are surprised that no assessment of the first phase of contracts with BT has...
Concluded (the committee's words)
We are surprised that no assessment of the first phase of contracts with BT has been published before the phase two and three contracts are signed. Phase two contracts being signed must include provisions to ensure that local councils and BT keep local 22 Rural broadband and digital-only services communities up-to-date with planned broadband coverage and speed. Information about rollout should be delivered on a premise-by-premise basis as opposed to by postcode.
8Fibre to the Cabinet (FTTC) is an efficient, cost-effective method of improving broadband in areas...
Concluded (the committee's words)
Fibre to the Cabinet (FTTC) is an efficient, cost-effective method of improving broadband in areas where premises are located close to their local street cabinet. However, this ‘one-size-fits-all’ approach to broadband delivery does not take into account the varied topography across the 44 local areas receiving broadband upgrade. FTTC allows those within a short distance of a local cabinet to experience the benefit of an upgrade to superfast broadband but can leave those already a long distance from the cabinet, and therefore experiencing slower broadband, with limited or no material change in service.
9Satellite technology provides a potential alternative to those in remote areas where fixed-line delivery of...
Concluded (the committee's words)
Satellite technology provides a potential alternative to those in remote areas where fixed-line delivery of broadband is impracticable or can achieve only very low speeds. However, it will not fill all the gaps. Satellite technology is not widely developed on a commercial scale in the UK and the technology itself can suffer from delay and reliability issues.
10The fact that Fibre to the Cabinet is not a suitable solution in every circumstance...
Concluded (the committee's words)
The fact that Fibre to the Cabinet is not a suitable solution in every circumstance or every community means that alternative solutions, such as wider satellite coverage or Fibre to the Remote Node, are necessary. Alternative solutions are required not only to ensure that the current commitments of basic and superfast broadband are met but also to ensure that the infrastructure being deployed is future proof and able to meet demands for increasing broadband speeds.
11The Rural Payments Agency have taken a number of important steps to ensure that those...
Concluded (the committee's words)
The Rural Payments Agency have taken a number of important steps to ensure that those with poor broadband speeds can access its new Common Agricultural Policy (CAP) application software. It deserves credit for seeking to ensure a ‘soft landing’ for the new system, but, given the difficulties experience last time round, and in particular given the variable state of broadband access in rural areas, judgment must be reserved on the effectiveness of its preparations until they have been tested in action.
12The RPA must have a contingency plan in case the new online-only CAP application system...
Concluded (the committee's words)
The RPA must have a contingency plan in case the new online-only CAP application system proves difficult to use for farmers with limited broadband capability. The new software has not yet been tested by the number of users who will access the site in May, and some of those doing so will be using online services for the first time. The contingency plan should be able to respond to the software not functioning at the level required or with users not being able effectively to access the software.
13We recommend that the level of privacy in Digital Support Centres for those making CAP...
Recommended (the committee's words)
We recommend that the level of privacy in Digital Support Centres for those making CAP applications should be comparable to that in a bank.
14Support to access online-only systems must be available not only in the first few months...
Concluded (the committee's words)
Support to access online-only systems must be available not only in the first few months of the CAP application, but also in subsequent months and years, allowing sufficient time for planning training needs and bearing in mind the farming calendar.
15The allocation of funding between urban and rural areas is greatly unbalanced.
Concluded (the committee's words)
The allocation of funding between urban and rural areas is greatly unbalanced. Those who live in urban areas have on average higher percentage coverage of superfast broadband, coupled with access to voucher schemes which can subsidise access. Rural areas are lagging behind. Those in poorly connected areas are sometimes asked to pay twice: once through their taxes for the Government-funded Broadband Delivery UK (BDUK) programme and potentially again from their own pockets if the BDUK programme does not reach them.
16We recommend the introduction of a voucher scheme, similar to that available in cities, for...
Recommended (the committee's words)
We recommend the introduction of a voucher scheme, similar to that available in cities, for those who live in areas with no access to fixed-line broadband or where they are unable to access a minimum of 2 Mbps broadband. The vouchers should subsidise the cost of satellite broadband access for those eligible.
17Fibre to the Cabinet does not offer a solution to all premises.
Concluded (the committee's words)
Fibre to the Cabinet does not offer a solution to all premises. Alternative technologies must be investigated and it is encouraging that the Government is now investing in this research. It is disappointing that research into solutions for hardest- to-reach areas has taken so long.
18The Innovation Fund is the first step to providing superfast coverage to the last 5%.
Concluded (the committee's words)
The Innovation Fund is the first step to providing superfast coverage to the last 5%. The results of the pilot test must be published and the most suitable schemes rolled out nationally.

Evidence

Oral evidence sessions 2