Government announces plans to ensure new homes come with gigabit-speed broadband
Digital secretary Oliver Dowden will today announce that the government will pass legislation to ensure new homes are built with gigabit-speed broadband.
Currently, about one in five new homes is still built without gigabit-speed connections, but the new legislation will ensure developers are legally required to install digital infrastructure with internet speeds of over 1,000 megabits per second (Mbps) in new-build homes, up to a cost cap of £2,000 per dwelling.
In order to incentivise developers to follow the plans, the government has worked with broadband operators to ensure they will contribute to the costs of installing the broadband in new-build homes.
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.
The legislation, which will be brought as soon as the parliamentary timetable allows, is part of Prime Minister Boris Johnson’s election pledge to focus on levelling up the UK’s regions.
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Dowden said: “This legislation means every new home will be built fit for the future and give people access to world-class broadband speeds from the moment they move in.
“It’s all part of our plan to deliver on our commitment to give everyone in the UK access to gigabit broadband, as we connect and level up the country.”
The announcement comes a week after the new chancellor Rishi Sunak confirmed the government would pump £5bn into its full fibre broadband rollout across the UK.
Openreach chief executive Clive Selley said: “Providing full fibre to new homes is an important part of Openreach’s commitment to invest in faster, more reliable broadband technology – as part of our ‘Fibre First’ strategy.
“We welcome the government’s announcement that all new build homes will be required to have the infrastructure to support gigabit-capable connections, and we will work closely with government and housebuilders on the best way to deliver this.”
The government expects that 98.1 per cent of the time gigabit broadband will be installed at no costs to developers and that developers will have to contribute more than £1,800 for only 0.1 per cent of new builds.