In its response to a public consultation, the DCMS announced it will propose laws to equip new-build homes with gigabit broadband from the outset.
Background: Increasing the availability of gigabit broadband throughout the country is one of the UK Government’s key policy objectives. Between October and December 2018, the Department for Digital, Culture, Media and Sport (DCMS) launched a public consultation on the necessary measures to adopt to ensure new homes are gigabit-ready. During 2019, the Government analysed the submissions, and has now published its response.
New legislation on the cards: On 17 March 2020, the DCMS published the response to the consultation, and announced that the Government will propose legislation to require developers to install high-quality digital infrastructure from the outset, make it a priority as part of the build, and ensure broadband companies are on board before the first brick is laid. Building regulations will be amended to guarantee that all new homes have the right infrastructure to support gigabit broadband. Developers must work with network operators to install gigabit connectivity in new-build homes, up to a cost cap of £2,000 per dwelling. The policy is technology neutral and the Government expects developers to consider fibre and FWA as part of the solutions adopted.
Operators commit to contribute: The Government expects that 98.1% of the time, gigabit broadband will be installed at no costs to developers, and that for only 0.1% of new builds will developers have to contribute more than £1,800. With an assumed operator contribution of between £500-£1,400, the policy will ensure that gigabit-capable connections will be deployed in 99% of total new build premises. Virgin Media will contribute at least £500, and in the case of some larger sites £1,000. Openreach has committed to a combined contribution with developers of £3,400, with a maximum developer contribution of £2,000. The government expects to have agreement from other operators in the coming weeks.
