UK Fibre ISP Gigaclear Calls for More Predictable and Useful BDUK Contract

Q3. Similarly the government has also revised its target and now aims to reach 95% of the country with a fixed line superfast broadband service by 2017 (99% by 2018 when mobile broadband and other wireless services are considered).

Not forgetting that Europe’s Digital Agenda also wants 100% to have access to superfast connectivity by 2020. Do you think this new target will be achievable or is it just a pre-general election gimmick?

ANSWER:

This target is again commendable and essential, and given cross-party support, is unlikely to be politically motivated. However we believe that it has the best chance of being achieved with additional competition. BDUK need to create a more predictable and useful contract that more than one supplier is interested in bidding for, and can win. Many question the durability of solutions based on additional investment in the old copper/aluminium infrastructure when its life is limited already.

Is this really going to get the UK to a position where it leads the way in communications infrastructure, a key enabler for economic growth and development? Faster progress towards a national FTTP roll-out will be needed to hit the EU targets.

Q4. One of the biggest problems for smaller rural ISPs (altnets) this year has been the struggle to get funding grants released from the £20m Rural Community Broadband Fund, which is partly because BT and local authorities have preferred not to reveal which areas they intend to cover as part of the BDUK scheme (at least not all at once).

Thankfully pressure from the central government has nudged local authorities to engage on this issue. Do you think this will be the end of the problem and, given that the EU still expects 100% superfast coverage by 2020, what more could be done to help the final 5-10%?

ANSWER:

Despite BT’s evidence to the Public Accounts Committee, the evidence so far suggests that this pressure is yet to have the desired effect. How many counties have been allowed to publish their speed and coverage maps to date, which would identify where RCBF grants could be applied for? So the answer is no, this is not the end of the problem.

What is needed to help the final 10% is action to ensure that they are aware sooner rather than later what they may get, when, and what their alternatives are. I am sure the county councils would be delighted to be able to obtain infrastructure upgrades for the entire county. But until they are able to recognise what still needs to be done, and are therefore able to seek new solutions, this is not going to be solved quickly.

Q5. Has Gigaclear itself suffered any problems as a direct result of the RCBF funding situation and or pressure from BT through the Broadband Delivery UK (BDUK) scheme?

ANSWER:

In all the communities we are working in, the communities tell us that they have had representatives from BT telling them that they do not need to talk to another provider. This has led to confusion in the minds of local communities as to what their choices really are and as a result delays our projects. The sooner the detailed county plans are allowed to be published the better for rural communities, business parks, and for competition in this market.