Rural Phone and Broadband Connectivity

Lord Benyon Excerpts

Tuesday 3rd February 2015 Commons Chamber

[Richard Benyon (Newbury) (Con)]

I refer hon. Members to my entry in the Register of Members’ Financial Interests.

I represent a rural constituency that is in the teeth of the superfast broadband roll-out, and is also the home of Vodafone. Twenty-five years ago, the first call was made from Newbury. The office contained 12 people and was above a curry house at the top of the high street. Vodafone is now one of Europe’s most successful companies. I do not stand here as the voice of Vodafone, but it is worth pointing out that the technologies developed through the inspirational leadership of people such as Sir Ernest Harrison are remarkable.

I was in Africa not long ago seeing the M-Pesa project, which is responsible for about a quarter of the financial transactions. It has completely changed the social dynamic and the ability of people who work in distant places to send money. It is remarkable. In this country Vodafone has developed a system for supporting people who are victims—or potential victims—of domestic violence through an alert system, and it deserves credit for much of what it has achieved.

West Berkshire has a rural population that is involved in two of the most dangerous professions: agriculture and the horse racing industry around the Lambourn valley. Getting good mobile phone coverage is not just a matter of convenience or of jobs and employment, but can be something that saves lives. The roll-out of the mobile infrastructure project is dear to our hearts in that area, and I would welcome an update from the Minister on how the project is going.

I welcome the Government’s effort to solve the problem through a legally binding agreement with the four networks that will see £5 billion invested in the UK’s mobile infrastructure. The results need to be visible as soon as possible so that constituents in areas such as mine can maximise their businesses, and people who live in rural downland villages in west Berkshire can fully partake in the dynamic Thames valley economy.

I am interested in the report produced by the Environment, Food and Rural Affairs Committee, and I hope that we can hold the feet of the various delivery agencies and companies to the fire, and ensure that we deliver on some of the dates. The Government’s original objective of rolling out superfast broadband to cover 90% of premises by 2015 has been altered to 95% of premises by 2017. BT has said that it is there or thereabouts, but that it might end up being achieved in 2018. I hope the Minister will ensure that such comments are challenged. Chris Townsend of Broadband Delivery UK has stated that he is “absolutely committed” to finalising the last 5% by 2020 at the very latest, and if that is accurate I hope we try to speed it up.

[Neil Parish (Tiverton and Honiton) (Con)]

This is one of the problems. BDUK seems to be putting back the start date for many schemes. The village of Upottery near Honiton does not know whether it will get superfast broadband in 2016, 2017 or 2018. BDUK has been given money to get to the hardest-hit areas, but it is not getting there on time. I hope the Minister will keep up the pressure on BDUK to deliver.

[Richard Benyon]

I am supportive of what the Government have done and of the range of options to ensure there is no digital divide between town and countryside, but that does not mean we should ever be satisfied. We should push at the door wherever we can.

[Alistair Burt (North East Bedfordshire) (Con)]

Before my hon. Friend leaves that point, Dunton in my constituency was expecting to have its broadband confirmed, but it has been delayed yet again. Such dashed expectation is a constant concern. Even though there is a small percentage left to cover and the Government have done a great job, that small percentage feel left out.

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[Richard Benyon]

That is frustrating—I entirely understand my right hon. Friend’s concerns.

I had the pleasure of being the Minister responsible for national parks and areas of outstanding natural beauty. Nobody feels more strongly about landscape than I do, but our planning policy is still restrictive. There is a phrase that I find myself using too much in politics: “The squeaky door gets the oil.” Often, when there is a proposal by a mobile phone company to put up or raise a mast to achieve more coverage, there is a lot of noise from a small number of people. The silent majority who just want a better mobile phone signal are not heard. It is important that we listen to the silent majority.

[Guy Opperman]

Will my hon. Friend give way?

[Richard Benyon]

If my hon. Friend will forgive me, I will not because other hon. Members want to speak.

At least two mobile phone masts in my constituency are designed as pine trees. I am not a great fan of pine trees and the masts do not look like pine trees to me, but they work perfectly. That is a solution for those who believe landscapes will be abused by the presence of masts. I urge mobile phone companies to develop more fake pine trees of that nature.

Regulations on renting land for masts and on repairing and upgrading those masts have not been meaningfully updated since 1984. The industry suffers from much higher rents. My hon. Friend the Member for Cities of London and Westminster (Mark Field) made a good point about urban mobile phone signals, and that is one of the reasons for his problem. In Madrid, there are two thirds or at least half as many more masts than there are in London, one of the most important cities in the world. We can understand why his constituents are frustrated. My question—it is perhaps rather philosophical than an attempt to elicit views from the Front Benchers about the election—is on whether we should be looking at mobile phone delivery much more as a utility. My fellow members of the Country Landowners Association might not thank me for saying this, but it could be an opportunity, because that might dictate a different type of rent.

The electronics communication code needs amending, and amendments to the Infrastructure Bill tabled to introduce the new code were withdrawn. I hope the Minister updates us on the code.

I want to draw hon. Members’ attention to a remarkable Vodafone project in west Berkshire, in the village of East Garston up in the Lambourn valley. I hosted an event and I am really pleased the Minister came and made an excellent speech. There are pilots around the country and that was an opportunity for him to show off his new beard, which we all welcome. In rural locations, networks can struggle to deliver coverage by traditional means, but it can be done through small technologies. In that case, a community of 450 people in a not spot have been provided with a signal from a church steeple. The Vodafone project was delivered not through a top-down statist approach, but through a local provider working with a community. It was a joy to see the first of those Vodafone pilots. It is now one of 100 schemes throughout the country. We have heard of a similar scheme in north Norfolk that has transformed the tourism potential of the area. That is a key area of delivery for the tourism industry.

I would love to spend more time talking about broadband connectivity. We in west Berkshire look forward to ensuring that 95% of Berkshire is covered by 2017. Our focus is now on the final 5%. I believe my local authority will make an announcement in the next few days which will be welcomed by a great many people, and that we will see benefits delivered. I agree entirely with my hon. Friend the Member for Somerton and Frome (Mr Heath) that the last 5% will always be the most difficult—on any subject. We must focus not just on being rigorous in one technology but across the piece. We must be flexible and local in how we deliver this. The Opposition suggest a centralised approach that we know has failed in the past. The Government have put in place an approach that works with communities.

[Several hon. Members]

rose—

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[Chris Bryant]

No, I will not give way to the hon. Gentleman. He might recall refusing to give way to me earlier. Had he been a little nicer then, I might have returned the favour.

The Government allocated £150 million to the super-connected cities programme, but what did they do? They hid their light under a bushel—they did not tell anybody about the programme—and guess what? Nobody applied for the vouchers. The hon. Member for Skipton and Ripon (Julian Smith) complained that we objected to the advertising programme. That is completely wrong. He should read his briefing note from the Whips a little more carefully. We complained there was no advertising, which is why there was no take-up and why, of the £150 million, so far only £20 million has been spent. That is another failure from the Government.

On the tender process, I accept the point about having local communities drive the agenda rather than a national statist agenda, but I gently suggest that if we set up 44 separate areas, it will be almost inevitable that the only people able to compete with a company such as BT will be those with very deep pockets who could be almost certain of getting several contiguous tenders, and that was never going to happen. In effect, it resulted in a licence to create a monopoly, and where we have a monopoly, we need tough, serious rules to ensure greater competition.

The hon. Member for Lancaster and Fleetwood (Eric Ollerenshaw), who lost his voice and was helped out by the Minister, made a sensible point about the lack of competition across the whole area, particularly in the provision between the cabinet and the home. That was exactly the problem with the incident he related about the company called B4RN. The other problem is that we are falling far short on take-up compared with roll-out. A far better economic model would be to drive roll-out by encouraging take-up, because people would understand what we need all these megabits for. People hear us talk about 24 megabits, 30 megabits, 50 megabits, 100 megabits, 1 gigabit, but actually nobody knows what we are talking about.

[Richard Benyon]

indicated dissent.

[Chris Bryant]

The vast majority of people have no understanding of what we are talking about, which is why we have very low rates of take-up.

The Government have taken some very wrong steps. For one, they ruled out wireless at the beginning. It is a delight that there is now a £10 million pilot looking at wireless solutions, but it should have been in existence in 2011-12. It is too late now. It is wrong only to look at fibre to the cabinet, and not fibre to some properties, because the simple truth is that people whose houses are a long way from the cabinet will never be part of superfast broadband under the programme as thus exemplified.

As I have said, there is next to no competition. If the Government are to spend the best part of £500 million of taxpayers’ money—most of it coming off the licence fee—they need to make a strong argument that it is meeting market failure, and I think that when they advanced phase 2, in particular, of superfast broadband without a proper business plan, they failed to prove it was meeting market failure. There is no evidence that this is meeting market failure, rather than simply helping BT make investments it would have made anyway.

We should be one nation, not digitally divided or disconnected. We should embrace the words of E. M. Forster in “Howards End”: “Only connect”.