Broadband Universal Service Obligation Debate

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Ian C. Lucas

Main Page: Ian C. Lucas (Labour - Wrexham)
Thursday 15th December 2016

(8 years ago)

Commons Chamber
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Ian C. Lucas Portrait Ian C. Lucas (Wrexham) (Lab)
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Let me first congratulate the hon. Member for Boston and Skegness (Matt Warman) on securing this debate. I truly welcome the opportunity to discuss this crucial subject. I particularly welcome the conversion of the Conservative party, after a very long time—seven or so years—to supporting a policy of universal broadband provision.

Access to broadband is absolutely crucial in society today, and has been for the last seven years. That is true not just for businesses, but for individuals. The Government are increasingly insisting that citizens access services through the medium of broadband. It is therefore essential that we have a universal service. It is extraordinary that that concept, which the hon. Member for Boston and Skegness talked about for the last 20 minutes, was rejected by the Conservative party. The concept of universality is crucial, but it was rejected by the coalition Government in 2010. In the 2010 general election, the Labour party had a policy of introducing universal broadband at a speed of 2 megabits by 2012. When the coalition Government came to power, they instead insisted—I remember the hon. Member for Wantage—

Ian C. Lucas Portrait Ian C. Lucas
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The right hon. Member for Wantage (Mr Vaizey); I beg his pardon. I remember the wording, as I heard it so many times: the coalition Government were going to deliver the best superfast broadband in Europe by 2015. But they rejected universal broadband, and ever since, I have, when sitting on these Benches, watched Conservative MPs complaining about lack of broadband provision. They are complaining because, as we all know from our constituents—individuals and companies—that provision is not being delivered. The result has been disastrous, especially for communities away from south-east England and the richest parts of the UK.

Jonathan Edwards Portrait Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
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I agree with the hon. Gentleman’s points on universality. Llwyn Helyg country house is an award-winning business in my constituency; it has won a range of accolades and has a five-star rating on TripAdvisor. The only negative comment it has ever had is about bad broadband provision, and that has an impact on its business.

Ian C. Lucas Portrait Ian C. Lucas
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The hon. Gentleman makes an excellent point. The same point has been made to me, and I am sure to many other Members, particularly those representing beautiful constituencies with large tourism sectors. Broadband provision is extremely important for businesses in that sector nowadays; to appeal to and access a worldwide market, they have to be able to provide these services.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
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My hon. Friend is making a powerful case. As he will know, Wales, including my Neath constituency, has some of the most rural communities in the UK, and despite the Superfast Cymru project we still lag behind England on coverage and take-up. Does he agree that the Government should underwrite the additional £20 million needed, and currently being sought from EU funds, to get the job done?

Ian C. Lucas Portrait Ian C. Lucas
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It is essential that we put the infrastructure in place that will deliver for the whole of the United Kingdom; that is the thrust of my speech.

I represent Wrexham. We have heard about rural areas that do not have access to broadband, but Wrexham is a manufacturing and exporting constituency that has many businesses and many modern technology parks around it. Many of those businesses have been telling me over the past few years that they have not been able to access the type of broadband services that are essential for modern businesses to be able to compete.

Antoinette Sandbach Portrait Antoinette Sandbach
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The Superfast Cymru project is led and delivered by the Labour-run Welsh Government in Cardiff, so if those businesses are struggling, I suggest that the hon. Gentleman speaks to the Welsh Government in Cardiff, who are rolling out that programme.

Ian C. Lucas Portrait Ian C. Lucas
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It is a matter of regret that the hon. Lady never misses an opportunity to be partisan. If she knew anything about this subject, she would know that the infrastructure and the whole basis on which broadband services are delivered are constructed by the UK Government; it has been their responsibility to deliver the policy of spreading broadband across the UK. It demeans the Conservative party to resort to petty, political point scoring, but that is what I have come to expect from her.

This is a serious, important subject, because I believe in the United Kingdom and in supporting areas right across the country—not just the richest areas, which is the policy of the Conservatives; whenever figures come through from Ofcom, we still see that the richest parts of the country have the greatest broadband provision. That acts against the interests of the nations and regions of the UK. It is the role of government, and the UK Government in particular, to correct the deficiencies of the market, but the coalition and Conservative Governments have failed to do that since 2010. That is why we have heard so many complaints from Conservative MPs at every Culture, Media and Sport Question Time since 2010 about the weakness of broadband provision and services.

I accept that there has been progress. Demand has not stood still since 2010. I know that the hon. Member for Wantage—

Lord Vaizey of Didcot Portrait Mr Vaizey
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Right honourable.

Albert Owen Portrait Albert Owen
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He was rewarded for failure.

Ian C. Lucas Portrait Ian C. Lucas
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Right honourable. It is always good have personal connections in politics these days; one always secures rewards.

Labour’s commitment to 2 megabits would have established universal provision, so that the entire UK would benefit from the expansion of broadband services. In reality, the richest areas have benefited most. We always accepted that 2 megabits was a starting point and would not be enough, but the important thing was the commitment to a universal service. Jettisoning that principle was disastrous. It reflected a failure to appreciate the essential nature of broadband in today’s economy and society. It accelerated still further the regional imbalances in the UK; this country has the most marked regional differences in income of all OECD countries. If we are to address economic and wealth inequality across the UK, the Government must act to ensure that we have a universal superfast broadband service. I welcome, therefore, the conversion to a commitment to universal service, but it is a shame that that did not happen in 2010, and that it has not been in place for the past six years.

BT has achieved much in broadband provision, and has extended that provision since 2010. However, it effectively has a monopoly over the infrastructure in many areas, yet it is not able to meet the required demand.

Antoinette Sandbach Portrait Antoinette Sandbach
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Will the hon. Gentleman give way?

Ian C. Lucas Portrait Ian C. Lucas
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I will not give way. There are delays in consumer provision reminiscent of the pre-privatisation era of the early 1980s. Individuals tell me time and again that they wait weeks, sometimes months, for a broadband connection when they move house.

Antoinette Sandbach Portrait Antoinette Sandbach
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Will the hon. Gentleman give way on that point?

Ian C. Lucas Portrait Ian C. Lucas
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I will not give way to the hon. Lady because she makes cheap political points.

In addition, many areas do not have the broadband infrastructure to secure superfast services. Until recently, Wrexham had only one broadband infrastructure system, which was unable to meet the demand from local businesses and individuals. The UK Government, who are responsible for devising the system, should have put in place a governance structure that created either the necessary infrastructure through a monopoly provider or a competitive market in which providers compete to build infrastructure. Their failure is that they have done neither since 2010.

I am pleased to say that in Wrexham, in the past two months, Virgin Media has begun to build its own infrastructure system, its first in north Wales, as part of the Project Lightning programme. I thank Virgin Media for responding to the pressure I have consistently put it under to introduce that system, but if we are to have a universal system right across the UK, it is incumbent on the Government and regulators to create the system necessary right across the UK. That they have not done so already is a failure on their part.

Ian C. Lucas Portrait Ian C. Lucas
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I give way to the hon. Gentleman.

Matt Hancock Portrait Matt Hancock
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Right hon. Gentleman. I wanted to improve the quality of debate by bringing a couple of facts to bear, because the hon. Gentleman is making a highly politicised and partisan speech. It is just worth pointing out to the House that in Wrexham, a town I know well, 95% of premises have access to superfast broadband, and by next summer that figure will be 98%.

Lindsay Hoyle Portrait Mr Deputy Speaker (Mr Lindsay Hoyle)
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Order. If everybody is to get equal time, Members should take up to 10 minutes; if they do not do that, other people will get squeezed out. If Members wish to make interventions, they should be short and sweet. I ask the people who are giving way to use up to 10 minutes. Ian Lucas, I know you are nearly ending your speech.

Ian C. Lucas Portrait Ian C. Lucas
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I am very aware of the position in Wrexham, because people contact me every week—every day, on occasion—to complain about a lack of provision. That includes complaints from businesses, and I can and will send the right hon. Gentleman a list of the complaints that I receive. I accept the position, but this is an important matter and I am not inventing these cases; they are cases that come to me.

BT is coming under a lot of pressure, and I have fought hard to get Virgin Media to come to Wrexham to provide competition to BT, which will improve the system. I do not think BT should be excluded in the future. As for the idea of a quick fix, splitting Openreach from BT is not a simple solution. One problem of the broadband market has been that a lot of the companies in the sector have spent far too much time arguing with each other about provision over the past few years. I want to make a constructive proposal for the sector, one based on my experience as a Minister. Regrettably, I am not right hon. because I do not have the right connections at present, but I was a Minister in the Labour Government who created the Automotive Council and, subsequently, the Defence Growth Partnership and the Aerospace Growth Partnership. They were put together to get businesses to work together for the benefit of the UK as a whole, to devise an effective system of businesses in individual sectors working together. I would like to see that in the broadband sector. I would like the Government, in pursuit of a universal service obligation, to construct a communications council, so that businesses work with each other and with Ofcom to devise a proper and appropriate approach to pursuing a universal obligation.

Providing broadband is not only a massive challenge for us, but a massive opportunity; the scale of the job is such that it provides training and skills potential for years to come. This should be a central task for the communications industry, and the Government should be working to ensure that the investment in infrastructure in the years to come leads to a parallel upskilling of our workforce right across the UK. A communications council should be tasked with that, and should take that objective forward.

Universal broadband should have been put in place years ago, and I welcome the fact that the Government have finally concluded that it should be introduced. They need to work with industry to look at the best way forward, and with Ofcom to secure the way forward, and then make sure that the investment made is used to upskill our young people and provide the type of service right across the UK that all businesses need in today’s world.

None Portrait Several hon. Members rose—
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