Project Gigabit: UK subsidy advice

Commercial

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Access to Infrastructure Code - Use of Existing Infrastructure

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BDUK has implemented the Access to Infrastructure Code to meet this approachrequirement. canSuppliers bemust foundeither agree to and comply with this Access to Infrastructure Code in respect of their corresponding infrastructure, or confirm that they have no infrastructure in the aboveintervention documents.area. The Access to Infrastructure Code is available here.

Background

The Future Telecoms Infrastructure Review (FTIR) was published in July 2018 and laid out a vision for a full fibre and 5G future for the UK Subsidyhighlighting Controlthe Regimeconsiderable replacespotential benefits to the StateUK.

The aidkey regimefindings whichof the FTIR were that, despite over 97% coverage of superfast broadband, largely based on copper user connections, the UK was in placedanger priorof falling behind on rolling out fibre and 5G connections. It proposed a more proactive approach than has been taken historically in the UK.

The FTIR proposed, as part of a wider range of measures under the Project Gigabit, an “outside in” procurement approach, named the Gigabit Infrastructure Subsidy . In essence this procurement approach seeks to minimise market distortion by relying on industry to build where it makes commercial sense to do so. Rather than wait for this process to run its course, FTIR recommends that we identify the UK’snon-commercial withdrawalareas, fromexpected to be at the Europeanoutside Union.of the networks, and to build to these premises in parallel to commercial build , seeking to provide gigabit-capable connectivity across all areas of the UK at the same time, ensuring no areas are systematically left behind.

Government subsidy rules

Under the United Kingdom/European Union Withdrawal Agreement of October 2019, all contract awards made prior to the end of the Transition Period (31 December 2020) continue to fall under the State aidAid regime for a period of four years and need to be managed in accordance with the rules in that period.

This also applies tofor future procurements and awards made under the Superfast Broadband Programme. We are developing the UK Gigabit Programme within the UK Subsidy Control Regime and have published detailed guidance on the approach.