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Research shows South West faces big challenges in securing
widespread fast broadband
04 March 2010
A Government report published today (Thursday March 4) shows
that the availability of fast and effective broadband in the South
West could reach only 46 per cent by 2012 unless measures proposed
by the Government for the whole of the UK are implemented. *
The South West RDA has commissioned its own research, also
published today, which shows that there is a growing demand from
businesses in the South West for faster broadband.
Report:
Next-generation access - February 2010
The research will inform the RDA’s strategy to actively
encourage investment into the region and support national plans to
ensure that the appropriate infrastructure is in place.
The South West has specific challenges to overcome because of
the region’s size and its large proportion of rural areas. This
means that the region is at a disadvantage when compared to others
and may fall short of national targets of 90 per cent coverage by
2017 even with the additional monies being discussed with
Government.
Businesses in the larger towns and cities have the greatest
access to fast and effective broadband and infrastructure must be
put in place to meet the growing demand from across the region,
particularly in rural areas.
The RDA wants to encourage greater access to faster broadband so
that more businesses can benefit from more efficient and productive
ways of working. Faster broadband will result in more businesses
becoming more competitive globally and will enable them to adopt
new business models which use high band width.
Stephen Peacock, executive director for enterprise and
innovation at the South West RDA, said: “This research indicates
that there is likely to be a high demand for faster broadband in
many parts of the region, which is good news as it can encourage
providers to invest more quickly.
“However, providers will be drawn to where demand is highest,
mainly in urban areas where there are more businesses, so we need
to highlight the business case for investing in the more rural
areas as well. We are currently reviewing tenders from a number of
communities for pilot projects, which shows that investment is
needed.”
As part of this agenda, the RDA is working with European
Convergence partners in Cornwall and the Isles of Scilly to secure
significant investment to roll out faster broadband to parts of the
county which have limited access. This investment has the potential
to transform Cornwall’s economy, and enable companies to compete
nationally and internationally.
The Cornwall project will be delivered by the recently
established Cornwall Development Company and it is hoped that the
roll-out will start this year. The initiative is supported by both
the RDA and Cornwall Council, and is seen as a cornerstone of the
European Regional Development Fund (ERDF) Convergence Programme in
Cornwall.
Stephen Peacock continued: “The providers’ investment in
extending this network will be substantial and the region is vast,
therefore we appreciate this can’t happen overnight.
“That said we are keen to see faster broadband become more
accessible so that businesses can fulfil their potential and we
will be working with partners and communities to explore avenues to
maximise benefits for the region from national investment
plans.”
The RDA’s next step will be to work with partners on a regional
response to a national consultation on access to fast broadband
which comes to an end on April 1.
Ends
For media enquiries, contact Sue Amiel at Spirit Public
Relations
Email: samiel@spiritpublicrelations.co.uk
Tel: 0117 944 1415
Notes to Editors
* In 2009, the Government published its Digital Britain report
which considered the issues of ensuring that all parts of the UK
have access to high quality broadband and recommended two
interventions. Firstly, that a Universal Service Commitment (USC)
of 2Mbit/s be implemented to ensure that all consumers have access
to broadband suitable for today’s needs, and secondly that a 50p
levy on all telephone lines be used to ensure the ‘final third’ of
the country has access to faster broadband. The aim is to reach 90
per cent coverage by 2017. The final third refers to those areas of
the country that the private sector will not invest in on its own.
In the South West, because of the large proportion of rural areas
here, this issue is more likely to affect half of the region rather
than a third.
** The national report has been commissioned by the Department
for Environment, Food and Rural Affairs (DEFRA) and the Department
for Communities and Local Government (DCLG).
There are a number of providers of faster broadband in the
region, the largest being BT Openreach and Virgin Media. The former
is implementing faster broadband to around 40 per cent of the UK
and is likely to be a major supplier of this service to the South
West. Virgin Media already covers 41 per cent of the region and can
provide some of the fastest speeds currently available.
The South West RDA leads the development of a sustainable
economy, investing to unlock the region's business potential. It is
helping companies respond to the economic crisis and charts a
course for recovery. The RDA is developing or expanding initiatives
which include: establishing a Business Loan Fund; coordinating the
response to large companies in difficulty; preparing for economic
recovery.