BT Openreach

Debate between Lord Vaizey of Didcot and Julian Smith

Tuesday 21st October 2014 Westminster Hall

[Mr Vaizey]

I am not clear what question the hon. Gentleman is asking me. Is he asking whether every constituency in Wales has an element of rurality? [Interruption.] I agree—I answered that question directly. Do I agree that his three constituents deserve the help of Openreach? I agree. I have ensured that key executives from Openreach are within 50 yards of the hon. Gentleman, to take up his constituency case the minute this debate finishes.

It has been a bit of a broadband day for me. I started in the television studios of “Rip Off Britain”, with the great Angela Rippon, Gloria Hunniford and Julia Somerville, talking about broadband speeds, where, to my absolute astonishment, a member of the team told me that they lived in the constituency of my hon. Friend the Member for Lancaster and Fleetwood (Eric Ollerenshaw) and he was an excellent Member of Parliament, in tune with his constituents.

I went on to a meeting with the Federation of Small Businesses, which told me its concerns about broadband and its ambitions for the Government. Obviously, I was fresh from answering all the parliamentary questions last Thursday, where a lot of my colleagues raised their concerns. The Secretary of State was nowhere to be seen, because he was in India, so I had to answer every question.

I am pretty broadbanded out, but now is the time to turn that around and give the positive message. First, the broadband roll-out programme is going well. We have passed more than 1 million premises and we are now passing up to 50,000 a week. It has really gathered speed. We are working in all the 44 areas where we have contracts.

In Wales, a scheme of some £200 million—if BDUK, Welsh Government and European money is taken into account, and not even including BT money—will cover some 750,000 premises by spring 2015. We have already reached almost 250,000 premises in Wales with superfast broadband. Let us not forget that BT’s commercial roll-out has also achieved superfast broadband for some 600,000 premises. By spring 2015, some 1.3 million premises in Wales will benefit from superfast broadband, if ours and BT’s rural broadband programme are combined.

The programme is on track. I pay tribute to the leadership of BT—Mike Galvin and Bill Murphy—on its rural broadband programme and on its tireless, hard-working engineers, many of whom worked in difficult conditions during the floods last winter to maintain it, as hon. Members will recall. While not ever losing sight of those who feel that they are being left behind by this programme—I will turn to that in a moment—it is important to celebrate its achievements and the enormous impact it has had.

I have decided to change my mind. This is a red letter day, because I am going to answer the two questions asked by my hon. Friend. What is the UK-wide strategy to promote greater take-up of broadband? He makes a good point. We are rolling out superfast broadband and it is important that people take it up. It is also important that people remember that superfast broadband is an engineering programme. We cannot wave a magic wand and deliver it overnight. We must also remember that there is a reason why this entire programme is not commercial and that, although we all see the benefits of superfast broadband, it is not necessarily taken up by everyone to whom it is available. That may be because people have decided that they do not need superfast broadband or because people are not aware that it is available in their area. We may be able to work with them to show them the benefits that superfast broadband would bring them.

In the very best cases, local authorities work hand in glove with BT and other providers to promote superfast broadband. One good example I can think of is Digital Durham, which from the beginning has had a take-up strategy embedded within it. Another good example is Cornwall, where there has been an ongoing project for several years. BT was originally contracted to reach 80%, but with the same money it is likely to reach 95% of the county. Cornwall has had digital take-up at its very heart with broadband roll-out.

There are two other issues that I hope will increase broadband take-up. First, working with BT, we are sharing data on how well take-up is going in particular areas. I opened the first broadband cabinet of our programme in North Yorkshire, in the constituency of my hon. Friend the Member for Skipton and Ripon (Julian Smith), and I am pleased to say that after my visit, take-up in that village soared to 60%. Clearly, although I am a pretty remarkable fellow, I cannot visit every single cabinet in the country, so that strategy has been ruled out. We are sharing the data on take-up by ward, so that we can identify areas where there is good take-up and areas where there is poor take-up to try to see whether any particular factors are behind that.

[Julian Smith]

I am pleased to hear that the pilot scheme is happening and that data are being shared. When I was at a presentation in North Yorkshire a few weeks ago, there was a still some reticence on the part of BT Openreach to release much of its data, so I urge the Minister to continue his campaign and to persuade it to share as much data as possible.

[Mr Vaizey]

We have made great progress with BT. Naturally, it is a commercial organisation, so sharing data with Government and more publicly is quite understandably an issue, because those data could be shared with commercial rivals. We have reached an agreement to share data by ward level on broadband, and that will begin to feed through.

Secondly, we have our SuperConnected Cities scheme, which offers business vouchers in 22 cities in the four nations of the United Kingdom. We have an advertising campaign promoting the take-up of those vouchers, and we have seen an uplift. We should therefore seriously consider whether a national campaign is needed to promote the benefits of superfast broadband. I heard my hon. Friend the Member for Carmarthen West and South Pembrokeshire loud and clear when he said that he felt that responsibility ultimately rested with the Government to promote broadband and broadband take-up. While I have talked about the need for BT and others and local councils to work together, I understand that point. We will look seriously at the role the Government can play in increasing broadband take-up.

Rural Broadband (North Yorkshire)

Debate between Lord Vaizey of Didcot and Julian Smith

Wednesday 8th January 2014 Westminster Hall

[The Parliamentary Under-Secretary of State for Culture, Media and Sport (Mr Edward Vaizey)]

It is a pleasure to serve under your chairmanship, Mrs Main. I congratulate my hon. Friend the Member for York Outer (Julian Sturdy) on securing the debate, and I am pleased to see him joined by my hon. Friends the Members for Skipton and Ripon (Julian Smith), for Harrogate and Knaresborough (Andrew Jones) and for Selby and Ainsty (Nigel Adams). As one can see as the camera pans around, God’s own county is represented by four of the finest elected representatives to be found in any legislature in the world. It is a testament to their power and influence that not a single member of the Opposition has dared to turn up to challenge anything that my hon. Friends have to say.

Now that I have taken my tongue out of my cheek, I must say in all seriousness, for the edification of their constituents and any local journalists watching the debate, that my hon. Friends have been assiduous in lobbying for their constituencies and to secure the best settlement to deliver the best broadband deal for their constituents, because they understand its importance. They have been aided and abetted by John Moore, the chief executive of NYnet, which is the company set up to deliver broadband to North Yorkshire, as well as the excellently led, Conservative North Yorkshire council. It is important to explain to those who might be new to the broadband debate that North Yorkshire was one of the first councils to participate in the Government’s rural broadband programme, because it was oven-ready, as it were, when the programme was announced. That is why, while I will go on to talk about the general success of the rural broadband programme, North Yorkshire stands out as one of the most successful areas.

[Julian Smith]

Just to extend the mutual congratulations slightly, I want to put on the record our thanks to the Minister for being so responsive over the past few years to relentless e-mails and letters from all of us. His responsiveness has made a massive difference.

[Mr Vaizey]

I am grateful, but perhaps we had better stop there, Mrs Main, and get to the substance of the debate, or people will start to turn against us.

North Yorkshire is one of the largest rural broadband projects in the country. It was the first to get under way under our rural broadband programme. We have put almost £18 million into the project, together with more than £8 million of European funding—if I am allowed to say that in public—and £9 million from BT, making a total investment of more than £35 million. The project is now on track to be completed by October this year, which is ahead of schedule. We also recognise the need to do more, and partly in response to the relentless e-mails, letters and conversations, we allocated a further £3 million to North Yorkshire, because that leveraged an additional £5 million of funding from the local council and in European money, allowing coverage to be extended further.

As for what we have achieved so far, the current contract will get 670 cabinets enabled for superfast broadband, which will deliver 168,000 premises as passed. Mindful of the point made by my hon. Friend the Member for York Outer about distinguishing between access to fibre and getting superfast speeds, I can say that that means 150,000 premises achieving speeds greater than 25 megabits. It is important to stress that we distinguish between those who have access to cabinets that have been enabled for superfast broadband and those who actually receive the speeds, because we recognise that some premises are too far from the cabinets to get the designated speeds.

More than half the cabinets have been deployed so far, which is 350, or 52% of the total; 95,000 premises have been passed, or 57% of the total; and 86,000 of those premises receive speeds of 25 megabits or more. By the end of next week, we expect 370 cabinets to have been enabled, so the project is going well. It is important to stress that this has been helped not only by the assiduous nature of the MPs’ holding the Government to account, but by NYnet on the ground and a proactive council, which have been vital. Some people have criticised the way in which we have gone about working with local councils, rather than having a national tender, for example, but having councils that are partners with BT has made a huge difference, because it joins up with things such as planning to ensure that broadband is rolled out all the more speedily.

Despite criticism of the programme, the results are now beginning to speak for themselves. For example, in Rutland more than 9,000 premises have been passed, and we expect that project to conclude by the summer; 95 more communities in Norfolk are now accessing fibre broadband, thanks to the programme; and in Suffolk, 90 miles of fibre cable have been laid, and 10,000 homes and businesses are getting broadband three months ahead of schedule, with a further 2,500 premises in 16 communities getting it in the autumn.

Many authorities are going further than our original target of 90%: Cambridgeshire is going for 98%; Lancashire 97%; Rutland 94%; and Wales, which has passed 100,000 premises and is now six months ahead of schedule, 96%. By the end of 2013, with 43 out of 44 projects signed, half of them already had live coverage. Superfast Cornwall has seen more than 194,000 premises passed by fibre and is aiming for 95% of fibre coverage. Northern Ireland has more than 90% of fibre coverage.

I take this opportunity to pay tribute to BT and its engineers. Over the Christmas period, all of us have seen, or experienced, the horrendous weather that led to trouble with power lines and so on. The flooding still afflicts a great many areas of the country. Throughout that entire period, however, BT engineers were working to meet their milestones. I have been told stories of engineers working with water up to their shoulders as they were preparing to lay fibre, or working in holes where the pumps had to be kept on permanently to keep the water from flooding them, so that the milestones could be met. BT gets a lot of criticism for the programme, but most of it is unwarranted. It is worth our pausing to pay tribute to the work of the BT engineers, in particular over this Christmas period.

On the core points made by my hon. Friends, I would characterise the tone of their remarks as, “It’s going well, but could do better.” We could do better in two or three areas, the first of which might be the allocation of the next £250 million. It is worth making the point that, having allocated a little more than £500 million to reach 90% superfast broadband, the Chancellor has allocated a further £250 million to reach 95%. We want to get that money allocated as soon as possible.

I was not in a hole up to my shoulders in water, but I can assure my hon. Friends that my officials and I and BT were all looking at the issue over the Christmas and new year period. We hope to make an announcement shortly, but I know that they appreciate that we have to get it right and ensure that the money is allocated properly and fairly. I can be certain, however, that good partners like North Yorkshire will, I hope, receive appropriate funding to carry on their good work.

Furthermore, it is important to acknowledge, as I have already done, that there is a difference between a fibre-enabled cabinet and people getting superfast access. I reassure my hon. Friends that we make the distinction. They also mentioned the concern about BT first saying that a cabinet is commercially viable, but then saying that it is not and that it should be part of the rural roll-out. Detailed planning is undertaken, but circumstances on the ground can change, so there needs to be a degree of flexibility and give and take. I can, however, again assure my hon. Friends that when BT finds that a cabinet is not commercially viable and seeks to put it into the rural programme, we do have detailed discussions. Likewise, sometimes there are parts of the rural programme that become commercially viable.

As for clawing money back from BT when take-up is higher, I assure my hon. Friends that where the take-up of broadband exceeds the target set under the contract, we do claw money back. That money is put back into the programme to extend coverage further.

Finally, I assure my hon. Friends that we are also looking at the £10 million that the Chancellor has allocated to us to take superfast broadband from 95% to 100%. That is money for test-bed experiments. It is important to stress that, in particular in rural areas, prices rise exponentially for that very last 5%.

Oral Answers to Questions

Debate between Lord Vaizey of Didcot and Julian Smith

Thursday 5th September 2013 Commons Chamber

[Mr Vaizey]

We have asked local authorities to make this information available where it is appropriate. The plans are set out and they may change, but each local authority has to make the decision by itself. I will happily meet the hon. Lady to discuss the provision of broadband in social housing in Glasgow and work with her to see what we can do to increase speeds there.

[Julian Smith (Skipton and Ripon) (Con)]

North Yorkshire has recently published its maps and is very close to getting to 95% coverage across the county. We need a couple of million pounds more from Government. Will the Minister use his charm and persuasive ability to urge Broadband Delivery UK to give it to us?

[Mr Vaizey]

As Opposition Members stress repeatedly, it is important that we ensure that we get value for money. If my hon. Friend wants to make the case to me, I will listen. North Yorkshire is already three months ahead of schedule, and that is symptomatic of the programme, which is beating its targets all the time.

Oral Answers to Questions

Debate between Lord Vaizey of Didcot and Julian Smith

Thursday 22nd March 2012 Commons Chamber

[The Parliamentary Under-Secretary of State for Culture, Olympics, Media and Sport (Mr Edward Vaizey)]

May I apologise for the Secretary of State’s absence from questions today and thank you, Mr Speaker, for giving him leave of absence? The whole House will be aware of the happy reasons for that absence.

We anticipate that the broadband delivery framework contract will be signed with suppliers in mid-April, and we expect the first three projects to enter procurement using the framework immediately after. We have set a target for all broadband procurement to be completed by the end of 2012, so that delivery can be completed by 2015.

[Julian Smith]

I thank the Minister for that answer. Rural north Yorkshire is already benefiting from the Government’s investment in broadband, and after yesterday’s Budget cities will, too, but at higher speeds. How do we avoid a continued digital divide between rural and urban areas, but at higher speeds?

[Mr Vaizey]

My hon. Friend has been a doughty champion of his part of the world in securing superfast broadband. All the country will benefit from superfast broadband, but it is quite right that we continue to invest in higher speeds, particularly for cities, to maintain our global competitiveness.

Oral Answers to Questions

Debate between Lord Vaizey of Didcot and Julian Smith

Thursday 8th September 2011 Commons Chamber

[Mr Vaizey]

I am afraid that about 10% of the population does not get the full range of services, but the core 15 channels. As I have said, that is a commercial issue for the people who operate the transmitters in this country. That issue certainly concerns some Members of Parliament, and if my hon. Friend wishes to join the hon. Member for West Dunbartonshire (Gemma Doyle) and me for a meeting to discuss this further, I would be happy for her to do so.

[Julian Smith (Skipton and Ripon) (Con)]

10. What recent progress his Department has made in delivering broadband to rural communities.

Oral Answers to Questions

Debate between Lord Vaizey of Didcot and Julian Smith

Thursday 20th January 2011 Commons Chamber

[Julian Smith (Skipton and Ripon) (Con)]

9. What recent discussions he has had with representatives of the telecommunications industry on the delivery of high-speed broadband.

[The Parliamentary Under-Secretary of State for Culture, Olympics, Media and Sport (Mr Edward Vaizey)]

I am working intensively to ensure that the UK has the best superfast broadband network in Europe by 2015, and I am in constant contact with a wide range of telecoms companies and other stakeholders in that connection.

[Julian Smith]

On 19 February, I and other North Yorkshire MPs from across the House will host the Ripon conference to celebrate North Yorkshire’s winning one of the superfast broadband pilots. It will bring together members of all parts of the community to consider how superfast broadband can made a difference to every part of North Yorkshire. Will he send a message to the conference or, hopefully, attend it?

[Mr Vaizey]

I congratulate my hon. Friend and the people of North Yorkshire on getting one of the pilots. I hope that I can make it to the conference. I spent new year’s eve in North Yorkshire before continuing my holidays in Newcastle.

Oral Answers to Questions

Debate between Lord Vaizey of Didcot and Julian Smith

Monday 26th July 2010 Commons Chamber

[The Parliamentary Under-Secretary of State for Culture, Olympics, Media and Sport (Mr Edward Vaizey)]

By the time digital switchover ends in 2012, everyone in the country should be able to receive at least 15 Freeview channels, but I would be happy to meet the hon. Gentleman to discuss any particular problems in his constituency.

[Julian Smith (Skipton and Ripon) (Con)]

T5. Last week, Dr David Harrop, a dentist from Grassington in the heart of the Yorkshire dales, wrote to me to say that he felt completely left behind by all the advances in the internet. Does the Secretary of State agree that connecting rural communities with high-speed broadband is vital for setting up businesses and for work? Will he meet me and my North Yorkshire colleagues to work out how North Yorkshire can be at the forefront of his superfast broadband revolution?