Product Security and Telecommunications Infrastructure Bill

Andrew Percy Excerpts

Report stage
Wednesday 25th May 2022 Commons Chamber

[Julia Lopez]

I am afraid that my right hon. Friend cannot tempt me, and I will say why shortly.

I thank the hon. Member for Hackney South and Shoreditch (Dame Meg Hillier) for bringing forward amendments 14 to 17 to clauses 59 and 60. They would expand retrospective rights to upgrade and share apparatus in buildings owned by private landlords, such as blocks of flats, also known as multiple dwelling units or MDUs. I begin by saying that I have considered this issue carefully. I have been lobbied extremely heavily on it by one operator in particular, and I have tested the proposition with my officials, legal advisers and other operators.

I would not like to pre-empt what the hon. Lady might say as to why she tabled the amendments and their perceived need. However, I reassure her, and any others considering supporting them, that as a fellow London MP with many MDUs in my seat I am concerned about the dangers of a digital divide emerging, and I am doing what I can to avoid that circumstance. If I thought that the amendments genuinely helped on that front, I would do all I could to incorporate them, but there is a glaring lack of consensus among the telecoms industry about their need. Indeed, only one operator has contacted me in support of them, while four separate operators and representative bodies have strongly opposed the amendments, arguing that they are anti-competitive. I will talk a little more about that in a minute.

[Andrew Percy (Brigg and Goole) (Con)]

I welcome the Minister’s rejection of those amendments. In my area, we have KCOM, which is a strong local performer. Had it not been for KCOM, most of my constituents, who are on the dual network, where it can be KCOM or Openreach, would not be anywhere near to getting gigabit broadband. We therefore do not want to see any changes that will give BT Openreach an advantage or preference over other providers, such as KCOM, which have got their acts together and got gigabit broadband delivered to our homes.

--- Later in debate ---

The Bill is taking aim at many of the right problems in product security, and the SNP welcomes its aims in good faith, but the Minister is not returning that good faith, because she is simply ignoring some of the simple tweaks that we have asked for and suggested in order to close those loopholes and oversights. I hope that she will reconsider.

[Andrew Percy]

It is interesting to follow the comments of the SNP spokesman, the hon. Member for Midlothian (Owen Thompson), particularly on disinformation and misinformation. If he wants to see some examples of excellent disinformation and misinformation, I refer him to some of the fake content that occasionally goes out from cybernats.

My only interest in this legislation is in what it will do for my constituents in Brigg and Goole. Some hon. Members might remember me banging on, many times in previous Parliaments and over the last few years, about the poor mobile and broadband coverage in my constituency. I used to refer to our broadband speed as two megabits a fortnight. I therefore welcome the general principles and direction of the Bill, which are so important to speeding up the roll-out of proper gigabit broadband.

In my intervention on the Minister, I highlighted my belief that it is competition that has delivered a massive increase in the roll-out of fibre-to-the-premise, gigabit-enabled broadband in my constituency. In East Yorkshire, we have a mixed network: large parts of East Yorkshire have no BT network at all and are entirely on the Kingston Communications system—now known as KCOM. That is why there are no red telephone boxes; we have white or cream telephone boxes locally. When I worked in America, someone bought me a postcard of red phone boxes to remind me of home, but of course they were entirely alien to me as I grew up in the piece of East Yorkshire where red phone boxes and BT did not exist.

In parts of East Yorkshire, we have the KCOM network. In other parts, including the part that I live in and represent, we have the BT Openreach network and we also increasingly have the Kingston Communications network. That is why I am concerned about some of the amendments tabled by the hon. Member for Hackney South and Shoreditch (Dame Meg Hillier), to which the shadow Minister spoke on her behalf, and about anything that potentially gives an anti-competitive advantage to one provider over another.

I do not have a particular problem with BT Openreach, which did a reasonably good job in the first fibre roll-out—the fibre-to-the-cabinet 24 megabit roll-out—across North Lincolnshire and my part of the East Riding of Yorkshire, which was generally delivered on time and in line with the contract. However, that is obviously not sufficient now, some years on. People increasingly demand and require proper full fibre to the premises, and I am afraid that that is where BT Openreach has not done its job. It has been left to Kingston Communications to roll out proper gigabit broadband to Goole, Broughton and, increasingly, Brigg and other communities in my constituency. We welcome that. As I said, it is purely competition and the work of Ofcom which has enabled us to have that.

Despite my praise of KCOM, those works have not been without some difficulties locally. Some of its pavement and streetworks leave something to be desired, and it has occasionally set fire to a number of residents’ hedges, which is awkward for residents and KCOM. Those problems and troubles aside, we now have significant roll-out of gigabit broadband to the premises as a result of that competition. Indeed, that is why the UK, having languished at the bottom of the full fibre league tables for some time, has begun to rise to a more respectable position.

As I said in my intervention on the Minister, I have some concerns about the amendments that seem to give preference to BT Openreach in some places. As I say, I have no problem with BT Openreach, but the Minister needs to look at some of its investment decisions. For years, it refused to provide full-fibre broadband to most parts of my constituency, including Goole. KCOM came along and did one part of it, leaving Old Goole. We put a town deal bid together to try to roll out full gigabit broadband to Old Goole, and then all of a sudden—I am sure it was entirely unconnected— BT Openreach gave notice that it planned to upgrade the exchange in Old Goole, but could not confirm whether it planned to roll out to premises. That leaves us in a quandary: should we proceed with our town deal, using public money on that project? I am sure it is all a coincidence, but it is important that the Minister looks at how many coincidences there are, where there is investment by one alternative provider and suddenly the behaviour of BT Openreach around that provider seems to take a certain pattern. As I say, I am sure it is all a complete and utter coincidence.

[Sir Greg Knight (East Yorkshire) (Con)]

My hon. Friend is making a very good speech. Does he accept that the point he is making about competition goes wider than Brigg and Goole? The more competition we see across the country, the better the provision will be.

[Andrew Percy]

Indeed, but as my right hon. Friend will know, Brigg and Goole is of course the most important place in this country, and I am therefore particularly exercised by what happens there. He is absolutely right, though: that competition, which is also seeing the KCOM network expanded and rolled out in his constituency in the northern bit of East Yorkshire, is really very important. That is not to say that BT Openreach does not have an incredibly important role to play—of course it does, and I praise it for its work in getting gigabit broadband expanded across the country, but some of its behaviour raises questions.

The shadow Minister, the hon. Member for Ogmore (Chris Elmore), who moved amendment 14 and spoke to the group I am referring to, brushed aside concerns about private property rights and the claims that BT Openreach and others will potentially have greater powers than the police to enter private property. He said that that would all be on the basis of no loss or damage. Well, that is all fine, but it is a fairly high bar in loss of personal property rights—or a low bar, depending on how you want to think of it. I was not exactly comforted by his dismissal of people’s legitimate concerns around one provider having particular rights to access property that others would not have. On that basis, I urge the Government to reject and oppose those amendments.

[Julia Lopez]

I am grateful to all Members who have spoken in this debate, to the Opposition for their support for the Bill, and to the hon. Member for Ogmore (Chris Elmore) in particular for the very collaborative approach he has taken throughout and his acknowledgement of the improvements we have made. I shall test officials on the further points he makes. I am also grateful to the hon. Member for Midlothian (Owen Thompson) for highlighting the product security parts of the Bill. Some of the detail he seeks will be in secondary legislation. Goods sold in online marketplaces, for instance, are not out of scope, because manufacturers, importers and distributors are covered. I would be happy to come back to him on some of the other points he raised.

On criticism of our roll-out, we are making substantial progress on our gigabit roll-out. We are now up to 68% coverage, up from 9% in 2019. I am open to any proposal to make roll-out go even faster. I have set out why competition is so important to that dynamic and why I think the amendments on MDUs are not the right way to go and could even slow the roll-out. I note the comments on BT Openreach. Other providers tell me that they have great teams negotiating wayleaves, that this is a straightforward process and that extra help on MDUs of the kind envisaged is simply not needed. I am grateful to my hon. Friend the Member for Brigg and Goole (Andrew Percy) for using KCOM as a great example of that, and for highlighting not only some of the good work that Openreach does, but the interesting example of his town deal, which I shall take away with me.

My right hon. Friend the Member for New Forest West (Sir Desmond Swayne) made a typically fruity and passionate speech. We believe our legislation incentivises greater collaboration. I set out in detail earlier why that is the case. We believe that rents were too high. As the need for digital infrastructure increases, we think rents need to become more akin to those for utilities. I should never wish to be accused of seeing property as theft. Indeed, I confess to taking umbrage at my right hon. Friend’s assertion on Second Reading. That is why I have tested his proposition—