{"id":31733,"date":"2022-07-22T08:21:11","date_gmt":"2022-07-22T07:21:11","guid":{"rendered":"https:\/\/www.ispreview.co.uk\/?p=31733"},"modified":"2022-07-22T08:21:11","modified_gmt":"2022-07-22T07:21:11","slug":"devon-and-somerset-uk-scrap-truespeed-fttp-broadband-contracts","status":"publish","type":"post","link":"https:\/\/www.ispreview.co.uk\/index.php\/2022\/07\/devon-and-somerset-uk-scrap-truespeed-fttp-broadband-contracts.html","title":{"rendered":"Devon and Somerset UK Scrap Truespeed FTTP Broadband Contracts"},"content":{"rendered":"

The state aid supported Connecting Devon and Somerset<\/a> (CDS) programme has been hit by yet another controversy after it “terminated<\/em>” two contracts with Bath-based broadband ISP Truespeed<\/a>, which had suffered delays in its \u00a36.7m (public investment) deal to deploy a full fibre network to cover 15,172 premises.<\/p>\n

The Phase 2<\/strong> contracts, which were signed at the end of 2020 and due for completion by December 2024 (here<\/a>), originally aimed to extend full fibre connectivity across various areas of Bath & North East Somerset, North Somerset, Mendip and Sedgemoor Districts – where there were no credible commercial plans for delivery at that time.<\/p>\n

However, the last solid progress update on Truespeed<\/a>’s deployment was in March 2021, which stated that the first homes were “anticipated \u2026 [to be] connected by Autumn 2021<\/em>“. But the trail then went cold, until February 2022, when the CDS programme suddenly warned that it was “engaging with Truespeed<\/a> in relation to delays in its contracted roll-out of full fibre broadband<\/em>“.<\/p>\n

The bad news is that Truespeed’s contract now appears to have gone the same way as Gigaclear<\/a>’s did only a few years earlier, and BT<\/a> before that, which marks yet another embarrassment for the now somewhat historically embattled Phase 2 CDS project(s).<\/p>\n

CDS Statement<\/strong><\/p>\n

The contracts have been terminated on the basis of Truespeed\u2019s failure to meet key contractual commitments made at the time contracts were awarded. The decision to terminate is supported by the Government\u2019s Building Digital UK<\/a> (BDUK) agency which is represented on the CDS Board.<\/p>\n

CDS is working with BDUK to redeploy funding allocated to the Truespeed contracts in order now to deliver full fibre connections to as many eligible homes and businesses as possible in the contract areas via Gigabit voucher top-ups and the Government\u2019s national Project Gigabit programme.<\/p>\n

…<\/p>\n

However, commencement of construction work on the CDS contracts was severely delayed by Truespeed throughout 2021 while it sought to secure further investment in its commercial roll-out which it planned to deliver in sequence with its CDS commitments.<\/p>\n

Regrettably, securing further investment took considerably longer than Truespeed anticipated. Although Truespeed has advised CDS that further funding is now in place, CDS has been informed by the company that it is subject to new investment criteria and limitations. This means Truespeed cannot meet its existing commitments in terms of deployment to CDS\u2019 contracted communities. Truespeed has also advised that it will be unable to meet the contracted build completion deadline.<\/p>\n

It has not been possible to find a compromise solution that would comply with public procurement and State Aid requirements and Government funding deadlines.<\/p><\/blockquote>\n

At this point it’s important to highlight that Truespeed has not submitted any premises to CDS for State Aid assurance and no public money has been paid to the company under the contracts.<\/p>\n

Truespeed Statement<\/strong><\/p>\n

Truespeed and Connecting Devon and Somerset (CDS) have mutually agreed to end their contracts.<\/p>\n

Truespeed secured \u00a3175m of total funding at the beginning of this year and made CDS aware during the tender process that further funding was required to complete the contracted delivery rollout.<\/p>\n

However, due largely to issues incurred during the pandemic, delays in construction work on the CDS contracts were experienced. Despite collective efforts to catch up and deliver the contracted properties within the previously agreed timescales, it has not been possible to find a compromise solution that would comply with public procurement or State Aid requirements.<\/p>\n

Truespeed remains fully committed to investing in the region and is focusing on the commercial rollout of its network. Expanding its ultrafast network at pace, Truespeed continues to deliver full fibre broadband to as many commercially viable residents and businesses as possible, improving connectivity throughout the South West.<\/p><\/blockquote>\n

The CDS programme has certainly had its fair share of ups and downs over the years with trying to get their Phase 2 deployment contracts off the ground, which started in 2015 after it failed to reach an agreement with BT<\/a> (Openreach<\/a>) over a similar build (here<\/a>). Sadly, the problems then continued and an alternative contract with Gigaclear<\/a> collapsed in 2019, due to significant delivery delays (here<\/a>).<\/p>\n

Suffice to say that the latest attempt at a Phase 2 deployment, which was agreed in 2020 and supported by contracts with Airband<\/a>, Wessex Internet<\/a> and Truespeed, was largely seen as another attempt to put their past problems right – even if they were now running many years behind schedule. Sadly, while Airband<\/a> and Wessex Internet<\/a> appear to be making progress, Truespeed has struggled.<\/p>\n

The situation is sure to come as a bitter blow to those premises that were planned to benefit from Truespeed’s build, particularly as many of them will not have been able to take advantage of alternative gigabit vouchers due to the planned build. On the other hand, commercial builds by rival networks (Openreach<\/a>, Gigaclear<\/a>, Jurassic Fibre etc.) will reach some of these.<\/p>\n

Meanwhile, Truespeed\u2019s separate commercial build appears to be having a better time of things, and their funding was recently boosted to \u00a3175m<\/strong> by Aviva. The operator, which has so far covered 200 communities around Somerset (c. 40,000 premises), recently also confirmed that they held an “ambitious target to reach 500,000 properties within the next five years<\/em>” (end of 2026).<\/p>\n

Customers of the service typically pay from \u00a340 per month for a symmetric speed 150Mbps package on an 18-month contract term (currently discounted to \u00a320), which rises to \u00a370 for their top 900Mbps tier (currently discounted to \u00a344). The service also includes a free phone solution, installation and a heavily restricted router.<\/p>\n","protected":false},"excerpt":{"rendered":"

The state aid supported Connecting Devon and Somerset (CDS) programme has been hit by yet another controversy after it “terminated” two contracts with Bath-based broadband ISP Truespeed, which had suffered delays in its \u00a36.7m (public investment) deal to deploy a full fibre network to cover 15,172 premises.<\/p>\n","protected":false},"author":1,"featured_media":20325,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ngg_post_thumbnail":0,"footnotes":""},"categories":[1],"tags":[471,438,56,38,439],"class_list":["post-31733","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uk_isp_news","tag-bduk","tag-devon","tag-fttp","tag-politics","tag-somerset"],"share_on_mastodon":{"url":"","error":""},"yoast_head":"\nDevon and Somerset UK Scrap Truespeed FTTP Broadband Contracts - ISPreview UK<\/title>\n<meta name=\"description\" content=\"The state aid supported Connecting Devon and Somerset (CDS) programme has been hit by yet another controversy after it "terminated" two contracts with\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ispreview.co.uk\/index.php\/2022\/07\/devon-and-somerset-uk-scrap-truespeed-fttp-broadband-contracts.html\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Devon and Somerset UK Scrap Truespeed FTTP Broadband Contracts - 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