Recommendation 2

The Department has failed to make meaningful progress to tackle the barriers faced by operators in maximising gigabit connectivity by 2025. At the time we took evidence in early November, the Department expected that state aid rules would be a domestic matter from 2021 onwards and EU approval would no longer be required. However, it had not assessed the potential impact were this not to happen in practice. It has yet to secure the legislative and policy changes that industry deems necessary to address major barriers to delivering gigabit infrastructure at pace. Responsibility for addressing many of these barriers, including changes to planning regulations, business rates treatment of fibre and requirements for new build properties, are spread across other parts of government and we got no assurance that they are being addressed urgently. Suppliers believe that legislation recently introduced to enable easier access to properties while welcome addresses only part of the problem. The Department is not clear about the potential for delay or for cost escalation if these barriers are not addressed before suppliers start work. It is also vague on the potential costs and delays from removing telecommunications equipment supplied by Huawei. Recommendation: The Department should identify which risks and barriers have the greatest potential to add delay and cost to the programme and provide a clear plan for how and when they will be addressed and the impact on time and schedule if they are not addressed.