Recommendations & Conclusions
27 items
2
Recommendation
Thirty-Second Report - Delivering gigab…
The Department has so far been overly reliant on the contributions of commercial suppliers in improving gigabit coverage. The Department is reliant on suppliers to deliver gigabit coverage to 80% of UK premises without subsidy. Between May and October 2021, national gigabit coverage increased from 40% to 57%. The Department …
Government response. 2025. This should be broken down by how much coverage is being achieved by: • individual commercial suppliers, such as Openreach, Virgin Media O2 and smaller suppliers know as alternative networks or “alt-nets” etc., and the extent to which it …
HM Treasury
3
Conclusion
Thirty-Second Report - Delivering gigab…
We are not convinced by the Department’s assertion that it will meet its target delivery of a minimum of 85% by 2025 despite having signed no new infrastructure subsidy contracts for Project Gigabit. The Department’s previous target proved to be unachievable. Despite revising the overall target, the Department’s target dates …
Government response. 3.1 The government agrees with the Committee’s recommendation. Target implementation date: May 2022 3.2 BDUK’s 2022-23 corporate plan will include a baseline trajectory for the progress required each year for the department to achieve its minimum target of 85% gigabit …
HM Treasury
4
Conclusion
Thirty-Second Report - Delivering gigab…
We are disappointed that the Department has still not taken significant action to remove barriers to rolling out Project Gigabit. Despite our recommendation earlier this year, the Department has yet to secure the legislative and policy changes that industry deems necessary to address major barriers to delivering gigabit infrastructure at …
Government response. 4.1 The government agrees with the Committee’s recommendation. Recommendation implemented 4.2 To remove barriers to network deployment, the department has: • introduced the Product Security and Telecommunications Infrastructure Bill, to encourage stronger relationships between telecoms operators and site providers. The …
HM Treasury
5
Conclusion
Thirty-Second Report - Delivering gigab…
The Department’s approach to rolling out gigabit risks perpetuating digital inequality across the UK. The Department contends that it is taking an “Outside- In” approach to gigabit infrastructure procurement. As part of this approach, the Department identifies areas which it does not expect it to be viable for commercial providers …
Government response. 5.1 The government agrees with the Committee’s recommendation. Target implementation date: Spring 2022 5.2 Beginning with its next regular update (scheduled for Spring 2022), BDUK will strengthen its quarterly reports with further information on progress in UK gigabit coverage, including …
HM Treasury
6
Conclusion
Thirty-Second Report - Delivering gigab…
The Department does not have a detailed plan to ensure that those in the very hardest to reach areas are not being left behind. The Department’s commitment to delivering 85% coverage by 2025 and full coverage by 2030 does not include those premises it has identified as the very hardest …
Government response. 2030. To build a credible and evidence-based profile for delivery beyond 2025 in the UK’s dynamic market, the department will need to reach three key milestones: • completion of all remaining market surveys to identify and understand the relevant suppliers’ …
HM Treasury
1
Conclusion
Thirty-Second Report - Delivering gigab…
We took evidence from the Department for Digital, Culture, Media and Sport (the Department) on its progress to date in achieving its target of reaching a minimum of 85% nationwide coverage of gigabit-capable broadband by 2025.
Government response. Introduction from the Committee The Department for Digital, Culture, Media & Sport (the Department) is responsible for delivering the government’s policies on increasing economic growth and productivity through improved digital connectivity. Central to this is its target of rolling out …
HM Treasury
7
Conclusion
Thirty-Second Report - Delivering gigab…
In our report of 8 January 2021, we recommended that the Department should clearly set out what activities it intended to complete and by when to achieve its revised targets. As part of this, we recommended that it set out the final dates by which key milestones must be reached …
Government response. 2021. Greensill Capital marketed its salary advance scheme, Earnd, to NHS trusts from 2019 and charged no fee to employers and employees for using the service Based on a report by the National Audit Office, the Committee took evidence on …
HM Treasury
8
Conclusion
Thirty-Second Report - Delivering gigab…
In changing its target, it has also made changes to the type of technology it plans to use to achieve gigabit broadband rollout.19 In 2019, the Department revised its target from full fibre to “gigabit-capable” broadband. Some stakeholders considered this to be a watering down of the target because they …
Government response. 2.2 The UK has one of the fastest builds in Europe, becoming a leader in terms of gigabit connectivity by 2025. The department has achieved this by setting clear, ambitious targets to galvanise operators and investors, together with a regulatory …
HM Treasury
9
Conclusion
Thirty-Second Report - Delivering gigab…
In its letter to us ahead of our evidence session, the Department told us that there had been a rapid increase in nationwide gigabit coverage to 57% coverage in October 2021, up from 34% in November 2020.23 However, the most recent publicly available data from Ofcom put nationwide coverage at …
HM Treasury
10
Conclusion
Thirty-Second Report - Delivering gigab…
The Department expects commercial operators will supply broadband infrastructure where profitable, and that this will provide up to 80% of the UK’s coverage.27 To achieve the additional coverage needed to meet its 85% target, the Department plans to provide subsidies in the form of a gigabit voucher scheme28 and the …
Government response. Introduction from the Committee The Department for Digital, Culture, Media & Sport (the Department) is responsible for delivering the government’s policies on increasing economic growth and productivity through improved digital connectivity. Central to this is its target of rolling out …
HM Treasury
11
Conclusion
Thirty-Second Report - Delivering gigab…
The Department has yet to sign the gigabit infrastructure contracts with commercial suppliers under which it would provide public subsidy for them to build in areas that would otherwise not get coverage as they are less commercially viable.31 The dates by 22 Q 17, Virgin Media O2 bolsters future network …
Government response. 3.5 In the latest Winter Update (published February 2022), BDUK reported that it has now launched its first six procurements for up to 187,400 premises. It also provided its procurement pipeline for up to 2.3 million more premises to be …
HM Treasury
12
Conclusion
Thirty-Second Report - Delivering gigab…
The Department told us that the reason it had yet to sign any new gigabit infrastructure contracts was largely that commercial operators hadaccelerated their plans for expanding gigabit coverage very rapidly. It explained that this has meant that it needed to re-plan on the basis that the private sector has …
Government response. 3.10 BDUK’s overall programme strategy and design of its interventions, including the procurement approach, balances the need to be dynamic and responsive to the market’s plans while maintaining a minimum level of certainty that suppliers will build viable networks to …
HM Treasury
13
Conclusion
Thirty-Second Report - Delivering gigab…
We asked the Department about concerns among some of our constituents who are feeling increasingly left behind as a result of private sector roll-out to the more commercially viable parts of constituencies. We asked it why its planning was slipping even further despite the procurement process having been made easier …
Government response. 3.10 BDUK’s overall programme strategy and design of its interventions, including the procurement approach, balances the need to be dynamic and responsive to the market’s plans while maintaining a minimum level of certainty that suppliers will build viable networks to …
HM Treasury
14
Conclusion
Thirty-Second Report - Delivering gigab…
In our January 2021 report we concluded that the Department had failed to make meaningful progress in tackling barriers faced by operators in maximising gigabit connectivity. We noted that it had yet to secure the legislative and policy changes that industry deemed necessary for removing major barriers at pace and …
Government response. 4.2 To remove barriers to network deployment, the department has: • introduced the Product Security and Telecommunications Infrastructure Bill, to encourage stronger relationships between telecoms operators and site providers. The bill will tackle the issue of non-responsive landowners, providing operators …
HM Treasury
15
Conclusion
Thirty-Second Report - Delivering gigab…
The Department’s answers during our more recent evidence session suggested that it is still not making progress at pace in tackling barriers to gigabit roll out. For example, the Telecommunications Infrastructure (Leasehold Property) Act 2021 (TILPA) received Royal Assent on 15 March 2021. This legislation was designed to amend the …
Government response. 4.2 To remove barriers to network deployment, the department has: • introduced the Product Security and Telecommunications Infrastructure Bill, to encourage stronger relationships between telecoms operators and site providers. The bill will tackle the issue of non-responsive landowners, providing operators …
HM Treasury
16
Conclusion
Thirty-Second Report - Delivering gigab…
The Department also held a technical consultation on the regulations needed to implement the Telecommunications Infrastructure (Leasehold Property) Act from June to August 2021. However, it has not yet published either the findings of the consultation or its response to these.48 Similarly, the Department is still analysing feedback on the …
Government response. 4.2 To remove barriers to network deployment, the department has: • introduced the Product Security and Telecommunications Infrastructure Bill, to encourage stronger relationships between telecoms operators and site providers. The bill will tackle the issue of non-responsive landowners, providing operators …
HM Treasury
17
Conclusion
Thirty-Second Report - Delivering gigab…
Stakeholders also suggested that there were areas where the Department’s approach to removing barriers to rolling out gigabit-capable infrastructure could be strengthened further.53 This was particularly the case regarding “wayleaves,” which are contractual agreements between landowners and telecommunications providers about the right to access property in order to install and …
Government response. 4.2 To remove barriers to network deployment, the department has: • introduced the Product Security and Telecommunications Infrastructure Bill, to encourage stronger relationships between telecoms operators and site providers. The bill will tackle the issue of non-responsive landowners, providing operators …
HM Treasury
18
Conclusion
Thirty-Second Report - Delivering gigab…
We asked the Department when we will see progress on the ground with regards to wayleaves. It told us that although the Electronics Communications Code, which is where the wayleaves issue is addressed, was reformed in 2017, it can go further in ensuring that negotiations between operators and site providers …
Government response. 4.3 In 2020, the government announced advice to telecoms operators regarding their use of Huawei equipment, including advice to remove Huawei equipment from the 5G network by the end of 2027. Under new powers in the Telecommunications (Security) Act 2021, …
HM Treasury
19
Conclusion
Thirty-Second Report - Delivering gigab…
The government’s decision in July 2020 to reduce its dependency on technology originating from certain high-risk vendors could introduce delays and additional expense to nationwide roll-out.61 The Department estimated that the removal of high-risk vendors’ 52 DRB0004 DCMS recall (Broadband), Internet Service Providers’ Association, 4 November, p. 2 and DRB0009 …
Government response. 6.2 BDUK will publish its profile to reach at least 5% of non-commercial premises by the end of 2025 in its 2022-23 corporate plan. As well as achieving the 85% target, the contracts that BDUK is currently procuring are also …
HM Treasury
20
Conclusion
Thirty-Second Report - Delivering gigab…
In our report in January 2021, we found that the Department was still developing its £5 billion programme to subsidise roll-out to the hardest to reach 20% of the UK’s 31 million premises and could not tell us when it intends to deliver major milestones, such as the letting of …
Government response. 3.10 BDUK’s overall programme strategy and design of its interventions, including the procurement approach, balances the need to be dynamic and responsive to the market’s plans while maintaining a minimum level of certainty that suppliers will build viable networks to …
HM Treasury
21
Conclusion
Thirty-Second Report - Delivering gigab…
We asked the Department why it had not just pressed ahead with the areas that it already knows are commercially unviable in the long term. It pointed us to Cumbria which had recently “been procured” and said that Cambridgeshire was also in the same batch. However, these are a small …
Government response. 3.10 BDUK’s overall programme strategy and design of its interventions, including the procurement approach, balances the need to be dynamic and responsive to the market’s plans while maintaining a minimum level of certainty that suppliers will build viable networks to …
HM Treasury
22
Conclusion
Thirty-Second Report - Delivering gigab…
Those areas that currently have sub-superfast broadband speeds (30 Mbps or below) are more likely to be in the 20% of premises that the Department thinks will be unviable for commercial providers. Only 21% of premises in rural ‘county areas’ currently have access to gigabit-capable connections.68 We heard that some …
Government response. 6.2 BDUK will publish its profile to reach at least 5% of non-commercial premises by the end of 2025 in its 2022-23 corporate plan. As well as achieving the 85% target, the contracts that BDUK is currently procuring are also …
HM Treasury
23
Conclusion
Thirty-Second Report - Delivering gigab…
In our January 2021 report, we found that the most difficult to reach areas were not neatly grouped together, and the Department was not yet clear how it would prioritise its interventions to ensure that they are served. As the Department expects that areas 64 Committee of Public Accounts Committee, …
Government response. 6.2 BDUK will publish its profile to reach at least 5% of non-commercial premises by the end of 2025 in its 2022-23 corporate plan. As well as achieving the 85% target, the contracts that BDUK is currently procuring are also …
HM Treasury
24
Conclusion
Thirty-Second Report - Delivering gigab…
The Department asserted that where there are variations found within urban areas, those pockets which are currently unviable are expected to be covered by commercial operators over the course of the next few years. However, should that not be the case, the Department told us that it will have to …
Government response. 6.5 In March 2021, a call for evidence was made to explore all possible options for improving broadband connectivity for these Very Hard to Reach premises. The government published its response in February 2022 bringing together its analysis and evidence …
HM Treasury
25
Conclusion
Thirty-Second Report - Delivering gigab…
The Department regards 0.3% of premises in the UK as being “very hard to reach, ” and acknowledged that these do not feature within its target of achieving full national coverage by 2030.77 These are typically the most rural and remote premises within the hardest to reach areas of the …
Government response. 6.5 In March 2021, a call for evidence was made to explore all possible options for improving broadband connectivity for these Very Hard to Reach premises. The government published its response in February 2022 bringing together its analysis and evidence …
HM Treasury
26
Conclusion
Thirty-Second Report - Delivering gigab…
At our last evidence session in November 2020, the Department told us that it was assessing the value for money of alternative technologies for delivering the fastest speeds possible to hard-to-reach premises.80 The Department told us that it was looking at what options were available to ensure connectivity in these …
Government response. 6.5 In March 2021, a call for evidence was made to explore all possible options for improving broadband connectivity for these Very Hard to Reach premises. The government published its response in February 2022 bringing together its analysis and evidence …
HM Treasury
27
Conclusion
Thirty-Second Report - Delivering gigab…
We asked why the Department had not made more progress in identifying what would be needed to connect the hardest to reach areas and how it would ensure that people in these aren’t were pushed to the back to the queue.82 The Department told us that “nothing is ruled out”. …
Government response. 6.5 In March 2021, a call for evidence was made to explore all possible options for improving broadband connectivity for these Very Hard to Reach premises. The government published its response in February 2022 bringing together its analysis and evidence …
HM Treasury