Government pledges to speed up broadband for rural businesses and close 'digital divide'

The government says 312,000 rural businesses and homes struggling with poor internet connection will benefit from up to £800m to modernise broadband infrastructure in rural areas of England, Scotland and Wales.

The deal with telecoms provider Openreach is described as "one of the biggest milestones in the rollout of Project Gigabit", which targets places too expensive for providers to reach with commercial activities and would otherwise be left with bad digital infrastructure.

Wales, the region with the lowest percentage of gigabit coverage, has been included in the project for the first time.

Ministers say residents and businesses in remote areas of Britain, such as the South Wales Valleys, Exmoor National Park and the Forest of Bowland, will gain access to the fastest connection on the market. As a result, the government said local rural economies will be stimulated by enabling remote working and attracting new businesses.

Peter Kyle, science, innovation and technology secretary, said: 

"Over the past decade, the UK's broadband rollout has clearly not happened fast enough and has overlooked too many areas, especially in Scotland and Wales. Robust digital infrastructure is essential for growth, productivity and competitiveness and this shortfall not only poses risks to our economic stability, but also entrenches existing inequalities across the country.

"We are fixing this by delivering for hundreds of thousands of homes and businesses up and down the country, focusing on the areas that were not prioritised by the previous government, such as Wales.

"Today marks a significant milestone in delivering on our promise to redouble our efforts to achieve full gigabit coverage by 2030 and lay the foundations for a more inclusive, dynamic and prosperous future for all citizens."

Contracts worth £288m have been signed to connect around 96,600 homes and businesses in England and Wales. Areas include Lancashire, North Wiltshire, South Gloucestershire, West and Mid-Surrey, Staffordshire, West Berkshire and Hertfordshire, West and North Devon, and North West, Mid and South East Wales. 

Talks are underway to agree further contracts to benefit around 215,800 more premises across England, Scotland and Wales, including Central and North Scotland, North and South West Wales, Mid and South Devon, East and South Shropshire, North Herefordshire, North Somerset, Essex, North East England and Worcestershire.   

Chris Bryant, minister for digital infrastructure, said:

"Far too many rural citizens and businesses are still stuck with outdated internet infrastructure, not being able to fulfil day-to-day tasks as easily as people living in our towns and cities.

"We have been clear we want to achieve sustained economic growth in every corner of Britain, and this starts by ensuring our communities have the infrastructure they need to thrive.

"This monumental deal with Openreach will make a real difference to communities, such as staying in touch with loved ones or being able to do business no matter where you are."

The Gigabit Broadband Voucher Scheme (GBVS) is part of Project Gigabit. It is focused on helping specific people and communities upgrade their broadband connection.

Eligible homes and businesses can apply for up to £4,500 to cover the costs of a gigabit-capable connection. Find more details here.

Kathy Ennis, founder of business consultancy LittlePiggy, has been based in Old Hunstanton, West Norfolk, since 2018. The Enterprise Nation local leader for the East of England, which includes Norfolk, Suffolk and Cambridgeshire, said:

"In my area a number of shops have gone back to cash only because the signal for payment devices is not strong enough - and the cost of the devices is crippling.

"I have not had a mobile signal in my home since moving to Norfolk. It's a common 'joke' locally that we daren't break down or get lost as we will never be discovered!

“This is a very beautiful part of the world and people love living and working here. We get on with things and work out way around stuff, but the things other areas take for granted are just not available here."

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