Source · Select Committees · Public Accounts Committee
Recommendation 32
32
Acknowledged
Concerns over significant government 5G investment where commercial solutions might suffice
Conclusion
While we could see the logic of demonstrating the benefits of 5G, the sums involved have been large, and we were concerned that commercial operators could have worked out themselves what benefits they could get from standalone 5G without government intervention.62 We asked the Department when it expected to see a dividend from its investment. The Department said that it was about to hit the tipping point at which commercial operators will pick up on the Government’s research and start spending their own money.63 Deployment of 5G infrastructure
Government Response Summary
The government highlights that standalone 5G deployment is commercially funded, while referencing existing initiatives such as the Wireless Infrastructure Strategy and monitoring progress via Ofcom data. It mentions past 5G Testbeds and Trials and ongoing Open Networks and 5G Innovation Regions, with an evaluation due in 2025.
Government Response
Acknowledged
HM Government
Acknowledged
7.1 The government agrees with the Committee’s recommendation. Target implementation date: Spring 2025 7.2 Standalone 5G deployment by the MNOs is funded by commercial investment, with no government subsidy. That is why the department set an ambition for standalone 5G to all populated areas, rather a specific target, through the Wireless Infrastructure Strategy. The department monitors progress against its ambition by using the 5G coverage data published in Ofcom’s Connected Nations report. The Strategy also included a comprehensive framework of demand and supply side interventions to support 5G deployment by the MNOs. The department continues to work with industry to understand what further interventions are needed to support 5G investment. 7.3 The 5G Testbeds and Trials programme, completed in 2021, highlighted the benefits of 5G and tested innovative applications and deployment methods. This helped businesses and the public sector understand the benefits of 5G, how to adopt them and accelerated the development and deployment of open interface architectures. The interim evaluation for the programme was published in 2023 and informed the government’s 5G ambitions set out in the Wireless Infrastructure Strategy. 7.4 The Open Networks Programme, which aims to support diversity of supply in the UK’s 5G supply chain, and the 5G Innovation Regions are still in delivery. The 5G Innovation Regions are delivering 5G solutions across the UK, helping the public sector and businesses develop their use cases for 5G while building up local infrastructure. The department will provide an evaluation of these programmes following their conclusion in 2025.