Autumn Statement 2011: Deloitte comments on super fast broadband announcement


30-11-2011

David Halstead, Deloitte Technology partner comments:

 “Providing super fast broadband in the major centres may not have the greatest impact, as urban areas already have sufficient traffic to encourage the roll out of broadband where it is technically feasible. Issues of affordability are found outside the major cities, where the investment to provide super fast broadband may not have the payback periods that may be required by commercial operators. There is little detail provided in the Statement as to how investment will be provided, although we assume this will be through some form of grant process. There are alternative approaches the Government could have considered such as setting up urban white space networks in the UK.

“A related question is whether consumers require 100 megabites speeds. However, the Chancellor’s decision to invest money into communications is driven by the need for investment into the economy, but with a focus on areas with the greatest potential for spill-over economic effects. Investing in capital programmes in the communications sector therefore has the direct impact sought with the potential for productivity gains in the longer term across the economy.”
 

 

The Deloitte Cambridge office comprises 8 Partners and over 250 staff who deliver a full range of professional services to the East Anglian region. As well as focussing on the life sciences and technology sectors for which the region has become so renowned, the office has long standing specialisms in other sectors including the professions, consumer business, food and agribusiness.

Deloitte LLP