312,000 rural homes and businesses  to get access to faster broadband in overhaul of old infrastructure

Hundreds of thousands of rural homes and businesses struggling to fulfil basic online tasks due to outdated broadband infrastructure will receive major internet speed upgrades, as the UK Government fixes the digital divide and powers up all regions of Britain.

Up to £800 million in government investment will be made available to modernise broadband infrastructure in rural areas of England, Scotland and Wales, ending the plight of buffering so people can fulfil everyday online tasks, such as streaming films, video calling, or downloading large files, which is currently particularly challenging in some areas of Wales and Scotland.

The deal will provide access to lightning-fast gigabit-capable broadband to around 312,000 homes and businesses across Great Britain. It is the first time Wales, the region with the lowest percentage of gigabit coverage, will benefit from this programme.

It will mean residents and businesses in remote areas of Britain, such as the South Wales Valleys, Exmoor National Park and the Forest of Bowland will finally gain access to the fastest connection on the market. This will help deliver improved productivity, as part of the government's mission to kickstart economic growth.

The landmark deal with telecoms provider Openreach represents one of the biggest milestones in the rollout of Project Gigabit, which targets places too expensive for providers to reach in their commercial build and which would otherwise be left behind with poor digital infrastructure. It will help meet the growing demand for reliable connectivity, stimulating local rural economies and reducing regional disparities, by enabling remote working and attracting new businesses.

The announcement follows this Government's vow to redouble its efforts to achieve full gigabit coverage by 2030 and harness the enormous potential of technology to grow the economy, accelerate innovation and improve people's lives.

Secretary of State for Science, Innovation and Technology Peter Kyle said: 

Over the past decade, the UK's broadband rollout has clearly not happened fast enough and has overlooked too many areas, especially in Scotland and Wales. Robust digital infrastructure is essential for growth, productivity and competitiveness and this shortfall not only poses risks to our economic stability, but also entrenches existing inequalities across the country.

We are fixing this by delivering for hundreds of thousands of homes and businesses up and down the country, focusing on the areas that were not prioritised by the previous government, such as Wales.

Today marks a significant milestone in delivering on our promise to redouble our efforts to achieve full gigabit coverage by 2030 and lay the foundations for a more inclusive, dynamic and prosperous future for all citizens.

Today's announcement will also improve learning opportunities for students, who will be able to gain better access to online resources and remote learning platforms, as well as healthcare patients, who will be able to further rely on remote consultations – as the UK Government continues its mission to improve public services and grow the economy.

Contracts worth £288 million have already been signed with Openreach under the agreement to connect approximately 96,600 homes and businesses in England and, for the first time, Wales. Areas to benefit include Lancashire, North Wiltshire, South Gloucestershire, West and Mid-Surrey, Staffordshire, West Berkshire and Hertfordshire, West and North Devon, and North West, Mid and South East Wales. 

Talks are now underway with Openreach to agree further contracts to benefit around 215,800 more premises across England, Scotland and Wales, with more announcements expected in the coming months. Areas expected to benefit from these future contracts include Central and North Scotland, North and South West Wales, Mid and South Devon, East and South Shropshire, North Herefordshire, North Somerset, Essex, North East England and Worcestershire.   

Minister for Digital Infrastructure Chris Bryant said:

Far too many rural citizens and businesses are still stuck with outdated internet infrastructure, not being able to fulfil day-to-day tasks as easily as people living in our towns and cities.

We have been clear we want to achieve sustained economic growth in every corner of Britain, and this starts by ensuring our communities have the infrastructure they need to thrive.

This monumental deal with Openreach will make a real difference to communities – such as staying in touch with loved ones or being able to do business no matter where you are.

Project Gigabit will support the government's plans to kickstart economic growth, creating and supporting thousands of high-paid, high-skilled jobs, empowering industries of all kinds to innovate and increasing productivity by taking up digital technology. It will also ensure people can access vital services they need now and, in the future, from giving patients improved access to healthcare through virtual appointments and remote health monitoring to helping pensioners combat loneliness by catching up with loved ones over higher quality video calls. 

For households, gigabit-capable broadband delivers faster speeds and fewer dropouts. Unlike traditional copper-based networks, gigabit connections won't slow down at peak times, meaning no more battling for bandwidth with the neighbours. Gigabit networks can easily handle over a hundred devices all at once with no buffering, meaning the whole family can seamlessly surf, stream and download at the same time. 

Clive Selley, CEO of Openreach said:

Research shows that full fibre provides a host of economic, social and environmental benefits – and I believe we're the best in the business at delivering it.

I'm proud we've been chosen, through a fiercely competitive process, and we're already cracking on with the job.

This is a British infrastructure success story. Our network already reaches more than 15 million urban and rural premises and, wherever we build, we bring the widest choice of providers for customers. I'm confident we can reach as many as 30 million homes by the end of the decade if the conditions remain supportive.

Trinity House, a charity dedicated to safeguarding lighthouses and maritime navigation aids in England and Wales is set to benefit from this investment. Chief Executive Rear Admiral Iain Lower welcomed the rollout:

As an organisation that works in remote parts of the nation, we applaud this rollout by Openreach and Government. This rollout will, among other things, help our operational teams work, connect and live better at our remote lighthouses, an invaluable improvement for when they are away from their homes and families.

Looking at the wider benefits, improved working conditions help ensure that our lighthouses work exactly as expected for the tens of thousands of mariners in our waters that rely on our aids to navigation. Safer seas make for a more prosperous island nation, as we depend on merchant shipping to carry 95% of the goods we use daily.