13
Acknowledged
We are concerned that Ofcom has significant catching up to do for its regulatory regime...
Recommendation
We are concerned that Ofcom has significant catching up to do for its regulatory regime to deliver the Government’s goals and protect consumers. The regulatory framework proposed in the Wholesale Fixed Telecoms Market Review has the potential to undermine the Government’s £5 billion subsidy for hard-to-reach areas and does not accurately reflect the competitive landscape for fixed telecoms. Consideration will also have to be given to the potential impact of the Government’s new target and spending plans. We expect Ofcom to address these issues in its final statement on the Wholesale Fixed Telecoms Market Review 2021–26 and to write to us explicitly outlining how it has done so.
Government Response Summary
The government confirms it has engaged closely with Ofcom regarding the interaction between the £5 billion UK Gigabit Programme and Ofcom's regulatory proposals. It expresses confidence that the interventions and regulations will work effectively together to maximise gigabit-capable coverage, but does not commit to ensuring Ofcom addresses the specific concerns outlined or writes to the committee.
Paragraph Reference
109
Government Response
Acknowledged
Government Response
Acknowledged
HM Government
Acknowledged
The Government set out the importance of regulation that promotes competition and investment in new gigabit-capable networks wherever possible in our 2018 Future Telecoms Infrastructure Review and Statement of Strategic Priorities. However, these documents also recognise that it would be necessary for the Government and potentially the regulator to intervene in areas of the country where competition and commercial investment is less likely. Since the publication of these documents, the Government has engaged closely with Ofcom on the interaction between our £5 billion UK Gigabit Programme and their regulatory proposals, particularly in relation to its proposed Area 3. We are confident that our publicly subsidised intervention and Ofcom’s regulations will work effectively together to maximise nationwide gigabit capable coverage by 2025.
Source
Committee
Culture, Media and Sport Committee
Inquiry
Broadband and the road to 5G
Report
Fourth Report - Broadband and the road to 5G
22 Dec 2020
HC 153
Addressee Bodies
Department for Culture, Media and Sport
Timeline
Recommendation age
5.6 yrs
Report published
22 Dec 2020