Unlock the Editor’s Digest for free
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.
The government has informally consulted telecoms companies about how to accelerate the rollout of high-speed broadband in blocks of flats as groups race to provide full fibre across the country.
The Department for Science, Innovation and Technology said it wanted to understand where reported barriers to deployment were “most pronounced and where they can be mitigated or removed”, in a request for information about multi-dwelling units (MDUs) sent in August to a provider and seen by the Financial Times.
The email from the “Barrier Busting Task Force” — which was set up in 2017 to address factors preventing the deployment of faster broadband — said: “We know there are varied views on this subject and are keen to fully understand different perspectives and experiences”.
Operators seeking to install full fibre in MDUs — which range from apartment blocks to converted Victorian buildings — must under current rules obtain permission from the property’s landowner as part of a so-called wayleave agreement.
The FT reported in April that BT had lobbied the Labour party to allow its networking division Openreach to replace its existing copper cables in MDUs with full fibre without seeking additional permission. However, smaller rivals raised concerns with the-then opposition party about the impact the move could have on competition.
The government correspondence asked for responses about the issue by the end of September 9 as part of an “information gathering exercise”, which it said was “not intended as a formal call for evidence or consultation”.
It asked about the main challenges faced in securing agreements for private and social housing MDUs, and the average costs and resources used in doing so.
Graeme Oxby, chief executive of London-based Community Fibre, said trying to work out how to build full fibre more quickly in MDUs was the “right thing to do”, describing the processes of securing wayleave agreements as “long” and rolling out full fibre once obtained as “quite slow”.
Jeremy Chelot, chief executive of Substantial Group, which includes the alternative network providers Netomnia, YouFibre and Brsk, said he was “cynical” about the impact of the exercise because there had been attempts to “tackle the MDU problem now for more than a decade”.
He added that trying to force landlords into providing access was a “bad idea” owing to safety and quality concerns and that residents should be “more vocal about their needs”.
Clive Selley, chief executive of Openreach, previously told the FT he was “very happy that the law is changed such that any fibre builder could go in and build in an MDU”.
Openreach said it had been “clear that we’re not seeking something that simply favours Openreach, but upgrading broadband connections into small blocks of flats is undoubtedly a challenge” and simple legislative changes could “stop these tenants being left behind, even when landlords are difficult to identify and contact”.
The DSIT said: “No decision has been reached following an informal gathering exercise,” adding that the government “is committed to fair competition, and as set out in our manifesto, our priority is closing the digital divide and ensuring everyone has access to fast and reliable connection, no matter where they live or work”.