BT Superfast Broadband Contract for Devon and Somerset UK Delayed

The joint Connecting Devon and Somerset (CDS) project in England, which is worth over £100m and hopes to make superfast broadband speeds of 25Mbps+ available to 85% of local premises by 2015 (rising to 100% by 2020), has been delayed following “significant” contract issues with BT.

The Broadband Delivery UK (BDUK) office and local council are understood to have put £52m of public funding on the table (this must be matched by BT), which will target broadband improvements for the 700,000 local residents and 26,000 businesses that would otherwise not be able to benefit from faster internet access.

Fujitsu UK withdrew from the bidding process a long time ago and this left BT as the only operator able to join the related Invitation to Tender (issued on the 29th June 2012). But an article on the BBC today states that “significant issues“, which have not been specified, are now delaying the deal.

BTs Spokesman said:

“We had hoped to make an announcement, but a few outstanding matters still need to be resolved. Whilst the contract is being finalised we are unable to give details due to commercial confidentiality. An agreement is expected shortly.”

The roll-out of improved and superfast broadband was originally due to begin during spring 2013 and could now be at risk of further delay.

1. nicknick

   January 23, 2013 at 9:47 am

   Obviously they don’t like the BT “our way or the highway” negotiation stance. But hey, when you stitch up the process so only BT can win what do you expect. I expect the have leaked it to the press to try and put a bit of pressure on BT that way (as it is the only way left)

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   • DTMark

     January 24, 2013 at 7:17 am

     “hopes to make superfast broadband speeds of 25Mbps+ available to 85% of local premises by 2015 (rising to 100% by 2020)”

     I wonder if it hinges on a gap between those “hopes” in the invitation to tender, and the proposal that has been presented.

     We can all “hope” for things..
2. NGA for all

   January 23, 2013 at 10:13 am

   If the 700k residents is premises, then there is a need to reconsile with the £425m welsh deal of (3,000) cabinets c700k premises (all in the public domain).

   If Devon and Sommerset equates to c3,000 cabinets serving c700k, then the £33k per path and cabinet subsidy is only double what was paid in Northern Ireland – £18m for 1,100 cabinets and paths (but some in Urban), but half of what will be paid in Wales for the same components. Sure it gets hard after 90% with new duct but before then it has to be overlaying on what exists, which requires minimal planning.

   Parliament could of course ask Ofcom to change BT’s Undertakings on cost transparency where state ais is present and where BT is the preferred bidder. It is going to need too anyway as we move towards a fibre transition plan. EFRA and Public accounts committee may suggest and give BDUK/LA’s the help they need. Given Ofcom are proceeding with fining BT £95m for overpricing Ethernet services, a process that has taken 4 years so far. I do not understand why they have not volunterred this change to the Minister.

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