Draft Telecommunications Infrastructure (Leasehold Property) (Terms of Agreement) Regulations 2022

Stephanie Peacock Excerpts

Wednesday 23rd November 2022 General Committees

[Stephanie Peacock (Barnsley East) (Lab)]

It is a pleasure to serve under your chairship, Ms Elliott. In our modern world, broadband is an essential utility, and in order to access many aspects of society—including shopping, schooling, public services and banking—a reliable, fast and affordable connection is needed. As such, people living in multiple-dwelling units such as blocks of flats or converted townhouses need broadband just as much as everyone else. However, Openreach has warned that without much-needed reforms, it may be unable to connect up to 1.5 million flats, risking the creation of a major digital divide. I am therefore pleased that measures are being introduced that will help operators to connect people living in flats where landowners are repeatedly unresponsive. These measures will help to resolve a subset of extreme cases, but if we are to meet the scale of the challenge of connecting everyone in MDUs, further support and reforms will be needed.

The draft statutory instrument before us today and the connected statutory instrument regarding conditions and time limits seek to strike a reasonable balance between operators and landowners, helping to connect some people in flats who might otherwise be left behind. As the Minister has outlined, where the required grantor refuses to respond to an operator time and time again, there will now be a new avenue through the courts for operators to deploy their services. For the reassurance of landowners, the SI also requires that operators adhere to certain standards while carrying out the work, a positive move that will improve trust in the industry as a whole.

Operators have raised some concerns that some of the terms are unnecessarily onerous. For example, they have questioned the need to send notice by recorded delivery when all previous attempts to make contact have been ignored or rejected, and when many contact addresses for grantors are simply overseas PO boxes. Others have said that they will find it hard to line up permissions, such as those needed from the local authority and those needed for preserving heritage, at the same time. How will the Department review whether the use of part 4A orders is working as intended—will it record how many are successfully issued and followed through, for example? Overall, however, we recognise the need for a reasonable amount of communication between parties, and for proper procedure to be followed. The Government did consult on the terms and have tried to strike a balance, and the result will allow for a small number of properties to be connected that otherwise would not be.

When looking at the bigger picture, however, this piece of delegated legislation addresses only a very narrow part of the problem with connecting flats. At present, operators are often forced to move build teams that are installing full fibre in a particular area onwards when they get to multiple-dwelling units, meaning that those flats are not connected. That is because in many cases, it is simply too difficult and costly for operators to come to an agreement with the required grantors in the timeframe during which they are in the area. Operators can theoretically go back and connect those flats at a later date, but that is much less efficient than doing so when they were already building there. That means that if the build team moves on, those living in the block will be left without a full fibre connection for years.

Today’s SI may provide a new legal route for accessing flats in some cases where landowners are being completely unresponsive, but showing a repeated lack of responsiveness itself takes time, meaning that build teams may still be moved on before they are actually able to use it. Furthermore, many landowners do communicate with operators, but in a manner or at a speed that delays the process to a point where, again, operators still need to move their teams on; in those cases, this legislation will not help at all. As a result, to ensure that people in flats are not left behind or connected inefficiently at a later date, we must look at reforms that target the broader issues behind MDUs—something that could and should have been done during the passage of the Product Security and Telecommunications Infrastructure Bill. I would be grateful to hear from the Minister what recent consideration has been given to the possibility of issuing full automatic upgrade rights to operators, while giving thought to their need for competition. It would also be an opportune time to provide an update on when requirements for new builds to be fitted with full fibre will finally be in force.

The Government have revised their broadband roll-out targets too many times. To prevent that from happening again, they must consider the broader concerns of those implementing the roll-out, and attempt to balance these with the needs of landowners and other interested parties. This SI is a step in the right direction, but further reforms will no doubt be necessary to ensure that tenants in flats do not unintentionally become a digitally excluded group. If we truly believe that broadband is an essential utility and not a luxury, this is something that Members across the House should be concerned about.