Next-gen broadband 'critical' for economy

Widespread deployment of next-generation broadband — which is significantly faster than current fat pipes — is critical for the UK economy, according to government advisory body the Broadband Stakeholder Group.

The BSG has examined the potential value for commercial investors and consumers, as well the social and economic value.

The research found the long-term benefits of a high-speed broadband network would exceed the cost of deployment, which are currently estimated to be £16bn.

But the BSG warns next-generation deployment should be delayed so uncertainties around how investors can realise the value can be resolved.

The BSG says commercial providers, government and regulators should work to create an environment conducive to broadband investment.

Chief executive of the BSG, Antony Walker, said next-generation broadband could "transform the way we do things as individuals, businesses and as a nation as a whole".

But he added that it's more important to carry out the deployment correctly rather than immediately. The UK could learn from other countries about how to make the process commercially viable but should not wait longer than three to five years as the country could lose out.