Concerns have been raised that a proposal to deliver faster internet access to rural areas could push up average broadband bills.
The UK Government committed to introducing a universal service obligation (USO), as set out in the Digital Economy Act, earlier this year.
But Culture Secretary Karen Bradley has now revealed BT has offered to voluntarily provide the high-speed service, involving an estimated investment of £450-600million, and pledged to consider both options with a view to securing the best deal for consumers. Defining a minimum download speed of 10Mbps, the USO would give every home and business the right to request this high-speed connection, while BT’s proposal – not reliant on public subsidy – could speed up the process.
It has prompted fears, however, that delivery costs could be passed on, with some households in remote areas still left without the minimum speed.
Labour Highlands and Islands MSP Rhoda Grant said: “People will rightly be wary of hidden charges and the government must come up with a much clearer sense of how better coverage can be delivered.”
BT said it would need to agree “cost recovery arrangements with Ofcom through regulated prices on Openreach’s products in the wholesale market so that we can make an ordinary level of return on our investment”.