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BT should be forced to sell Openreach service, report says | BT should be forced to sell Openreach service, report says |
(about 2 hours later) | |
BT should be forced to sell the country's leading broadband provider because of poor performance, a report backed by 121 cross-party MPs has said. | BT should be forced to sell the country's leading broadband provider because of poor performance, a report backed by 121 cross-party MPs has said. |
The report, commissioned by ex-Tory chairman Grant Shapps, said BT's Openreach service had only partially extended superfast broadband despite £1.7bn of government money. | The report, commissioned by ex-Tory chairman Grant Shapps, said BT's Openreach service had only partially extended superfast broadband despite £1.7bn of government money. |
It should be sold off to increase competition, the report added. | It should be sold off to increase competition, the report added. |
BT said Britain had better broadband provision than most EU countries. | BT said Britain had better broadband provision than most EU countries. |
Openreach, a BT subsidiary, operates the main system of cables which connect homes and businesses to the internet. | Openreach, a BT subsidiary, operates the main system of cables which connect homes and businesses to the internet. |
Mr Shapps's report suggested that 400,000 small and medium sized companies still did not have access to superfast broadband, and more than five million people were receiving unacceptable download speeds. | Mr Shapps's report suggested that 400,000 small and medium sized companies still did not have access to superfast broadband, and more than five million people were receiving unacceptable download speeds. |
He said he wanted the telecoms regulator Ofcom to force BT to sell off Openreach to open up competition. | He said he wanted the telecoms regulator Ofcom to force BT to sell off Openreach to open up competition. |
'Wrong-headed' | 'Wrong-headed' |
"We deserve better. We should be leading the world on digital investment and innovation," the report said. | "We deserve better. We should be leading the world on digital investment and innovation," the report said. |
"Instead we have a company that clings to outdated copper technology with no long-term plan for the future." | "Instead we have a company that clings to outdated copper technology with no long-term plan for the future." |
A BT spokesman told the Daily Telegraph: "Ofcom, the EU and others repeatedly place the UK number one for broadband and superfast broadband when compared to other large EU countries. | A BT spokesman told the Daily Telegraph: "Ofcom, the EU and others repeatedly place the UK number one for broadband and superfast broadband when compared to other large EU countries. |
"The idea that there would be more broadband investment if BT's Openreach infrastructure division became independent is wrong-headed. As a smaller, weaker, standalone company, it would struggle to invest as much as it does." | "The idea that there would be more broadband investment if BT's Openreach infrastructure division became independent is wrong-headed. As a smaller, weaker, standalone company, it would struggle to invest as much as it does." |
A spokesman for Department of Culture, Media and Sport said 95% of the UK would have access to superfast broadband by next year, so the report was "misleading". | A spokesman for Department of Culture, Media and Sport said 95% of the UK would have access to superfast broadband by next year, so the report was "misleading". |
The UK government has promised that internet providers will be legally obliged to provide broadband speeds of 10 megabits per second to everyone who wants it by 2020. | The UK government has promised that internet providers will be legally obliged to provide broadband speeds of 10 megabits per second to everyone who wants it by 2020. |
In December, Ofcom chief executive Sharon White said it was unacceptable that 2.5 million homes still did not have access to this. | In December, Ofcom chief executive Sharon White said it was unacceptable that 2.5 million homes still did not have access to this. |
Ofcom completed the first phase of its digital communications review in the summer and is expected to report its recommendations next year. | Ofcom completed the first phase of its digital communications review in the summer and is expected to report its recommendations next year. |
Are you a BT Openreach customer? Has your home or business been affected by "unacceptable download speeds"? Email haveyoursay@bbc.co.uk with your stories. | |
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