One Year Extension for UK Better Broadband Subsidy Scheme UPDATE2

The UK Government’s Better Broadband Subsidy Scheme, which offers grants worth up to £350 for rural homes and businesses that are unable to get at least a 2Mbps download speed (i.e. helps them to get a faster ISP connection installed), appears to have been extended again until the end of 2019.

The scheme was first setup all the way back in 2015 (here) and at the time it aimed to provide help for an estimated 300,000 premises (mostly rural areas), specifically those who struggled to receive a minimum download speed of 2Mbps and which were not expected to benefit from the Broadband Delivery UK roll-out of faster networks.

The original scheme was due to end in 2017 but it was eventually extended to the end of 2018 and wireless ISP Moorsweb are now reporting that it has today been extended for a second year, until 31st December 2019. One year ago we noted that the BBSS had issued over 10,000 voucher codes and consumed £3.1 million of its £5m budget (here), although sadly DCMS haven’t yet provided any up-to-date figures.

A variety of different networks have harnessed this scheme in order to connect consumers in remote parts of the UK, including various fixed line (FTTC/P), fixed wireless and Satellite broadband ISPs. The vouchers generally went toward covering the installation cost of a new service (not service rental).

Nevertheless we predict that the scheme probably doesn’t have much of a budget left and seems unlikely to be extended again. Doing so could risk conflicting with the new 10Mbps Universal Service Obligation (USO), which is also due to start at around the end of next year. But the Government has previously hinted that it could maintain both if needed, with the BBSS being used as a quick-fix until a proper USO service arrived.

We have asked DCMS to comment and are awaiting their response.

UPDATE 4:03pm

We understand that BDUK also plan to improve the scheme’s processes and functionality in order to deliver a “more efficient and effective service” to both suppliers and applicants, although this won’t be introduced until it’s re-launched in January 2019. At this time any existing suppliers will need to agree the new Terms & Conditions, as well as the new installation and claim processes.

Sadly BDUK has yet to provide anybody with details of the planned changes but this is expected to follow BEFORE Christmas.

UPDATE 5:55pm

According to DCMS, there is currently £2.4 million set aside until the end of the scheme (31st December 2019) and 40,445 voucher codes have been issued to eligible applicants since the launch of the Scheme (so far only 20,539 of these vouchers have resulted in a service being provided).