BSG Reports

BSG Report: Local Benefits for Full Fibre and 5G

The Broadband Stakeholder Group publishes research by Oxera to help local authorities understand the localised economic benefits of full-fibre and 5G

Key localised economic benefits of full-fibre and 5G include:

  • Local authorities can see up to 3.2 per cent increase in new businesses operating in the area. If reflected in business rates, a local authority could see an increase in gross revenue of over £10,000[1]
  • Existing businesses will see an increase in productivity which should result in an expected increase in turnover of up to 3.8 per cent per worker per annum
  • Local authorities can realise direct benefits by being able to implement more innovative public service delivery whilst driving down costs, such as through increased cloud adoption.

 The Broadband Stakeholder Group (BSG) has published new research to help local authorities understand the economic benefits that are available to them through the deployment of very high capacity networks such as full-fibre and 5G.

Local government is pivotal to the ability of telecoms operators to deploy the networks and infrastructure essential to the UK for both current and future connectivity needs. The telecoms sector is used to engaging with local authorities countrywide and as such understand their competing pressures and obligations. Local authorities’ cooperation in deploying our future communications networks is critical. This report seeks to complement the BSG’s previous research[2] into how to best engage with operators by setting out the positive benefits that the next generation of communication technologies will deliver.

Using the ONS categorisation of geographical areas across the UK,[3] local authorities can use this framework to understand the practical benefits that full-fibre and 5G can deliver in their specific area depending on their locality. The report, which draws on a comprehensive review of existing empirical studies and reports on the impact of full-fibre and 5G connectivity, examines the positive benefits that these very high capacity networks will deliver in the form of;

  • Benefits to existing businesses; the evidence shows that they could see a productivity increase of up to 3.8 per cent in turnover per worker per annum in some cases
  • New businesses; an estimated 3.2 per cent increase in the number of businesses operating in areas which have poor levels of coverage today
  • Increases in employment; a mix of safeguarded jobs or new employment of up to 1.7 per cent in some areas.
  • Private benefit to consumers; expected increase in consumer surplus for digital communications as they benefit from new services.
  • Benefits to local authorities; increased economic activity as well as direct benefits in improved public service delivery.
  • Wider society impact; harder to quantify but important improvements in areas such as inclusion.

These improvements will change depending on the make-up of the local area, driven by factors such as population density, sectoral composition, population density, baseline telecoms coverage, and take-up rates.

Matthew Evans, CEO of the BSG, said Industry is committed to delivering the Government’s aims of nationwide full-fibre by 2033 and 5G to the majority of the population by 2027.[4] These are ambitious timescales under the current policy and regulatory landscape and are intended to be delivered with minimal public funds. It is a strategic civil and digital infrastructure deployment. This upgrade of our national digital infrastructure will not happen without close engagement between Government and the private sector. We need sufficient capital, sufficient skills and the cooperation with every local authority in the country.

“Many reports already estimate the benefits that full-fibre and 5G can bring to the UK economy making the overall business case while ensuring that central government plays its role in facilitating this investment. But what does it mean for Manchester, Merthyr Tydfil or the Midlothian hills? Without knowing the answer to this question, it is understandable that there is a disparity amongst authorities in how they engage with and approach builders of digital infrastructure. This report seeks to address that gap.”  

Felipe Florez Duncan, Partner and Head of TMT, and Matt Shepherd, Principal and Infrastructure Planning lead at Oxera, said: “The roll-out of very high capacity networks such as 5G and full fibre broadband networks will have important impacts on consumers, businesses and local authorities.

However, the deployment of these networks will require discussions and action at local levels. This study sets out how those local impacts can be thought about and assessed. This will enable those interested in this subject to think about what these impacts will be in their local area and, importantly, to develop strategies to realise those benefits.”

This report establishes the framework against which we can measure the success of full-fibre and 5G deployments. Naturally, we will look to revisit the evidence base which fits into this framework as the roll-out continues. Whilst we have used international literature in the case of full-fibre, as a new technology, the evidence base for 5G is loosely based on the capacity and speed elements of the technology. As the evidence base for the applications of 5G involving low latency or as a driver of internet- of-things-based solutions expand, we would expect to see a further increase in benefits that it can bring to local areas.

You can find a copy of the summary report here. 

You can find a copy of the main report here. 

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[1] The Prime Minister’s constituency falls within the Borough of Hillingdon. Its business rate revenue is forecast to be £387,894 in 2018/19.

[2] http://www.broadbanduk.org/publications/publications/

[3] These areas are based on ONS statistics ranging from mainly rural to urban with major conurbation.

[4] https://www.gov.uk/government/publications/future-telecoms-infrastructure-review

 

New BSG Report: Preparing for the UK’s all-IP future

  • The UK is moving to an all-IP (internet based) network for voice services
  • The current analogue system, the Public Switched Telephone Network (PSTN), will come to the end of its life in the mid-2020s with transition also needed to prepare for our full-fibre future
  • As well as providing voice services, many other applications, such as social care and security alarms, use the PSTN
  • The report provides lessons from four international case studies which are further along their migration path, giving evidence on how the UK can prepare for a successful and seamless migration from the PSTN to all-IP networks.

The Broadband Stakeholder Group (BSG) has published a report on “Preparing the UK for an All-IP future: experiences from other countries”. It outlines the lessons the UK can learn from four international case studies as we migrate from the Public Switched Telephone Network (PSTN) to all-IP voice services and networks.

The PSTN provides voice and some data services within the UK. It is nearing the end of its life and is increasingly expensive to maintain. A move to all-IP networks lowers costs, brings additional benefits to voice services and helps prepare for the eventual retirement of copper networks – a necessary move as we forge our full-fibre future.

The migration is necessary but raises two particular challenges. The first is the continued provision of voice services, in particular, resilient access to emergency services in the event of a mains power failure which is especially important for the vulnerable and those who are landline-only users. The second is around the data services that use the PSTN. Some of these will not be compatible with an all-IP system as they rely on the analogue capabilities of the old network.

In order to ensure that the UK’s migration is as seamless as possible, the BSG commissioned Plum Consulting to analyse four international case studies. Germany, France, Switzerland and New Zealand were chosen due to the different stages of their migration and their differing regulatory structures.

Guidance on how to communicate and protect vulnerable consumers who may be particularly dependent on voice services is a key feature of the report. As the migration will be led by individual communication providers, it is essential that the industry effectively coordinates its messages to both consumers and providers of services that are dependent or reliant on the PSTN. Other insights focused on the benefits of minimising the forced migration of users away from the PSTN as well as the potential technical challenge posed by the UK’s approach to number portability.

Richard Hooper, chair of the BSG, said: The UK is well placed to manage a successful migration from the PSTN to all-IP networks. Industry is already taking measures such as providing test facilities to companies that provide data services. However, this report makes clear that we need to continue to strengthen this work to avoid the pitfalls other countries have made and protect vulnerable consumers. It is particularly urgent that industry works together with Ofcom and ensures that the messaging to consumers from communication providers is consistent.”

Read the full report here.

Forging our 5G Future: Barriers and Solutions to network deployment

The Broadband Stakeholder Group has published a report on ‘Lowering barriers to 5G deployment‘. It outlines the challenges and solutions to deploying new mobile infrastructure necessary to meet the UK Government’s ambition to be a 5G leader.

The report – ‘Lowering barriers to 5G deployment’ – is the outcome of a study by Analysys Mason researching barriers to 5G deployment from both industry and local authority perspectives in the UK, identifying key challenges faced during the deployment process. The report aims to assist the UK Government in delivering its ambition to be a 5G leader by identifying and proposing solutions to current and potential barriers to network deployment.

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Tackling Barriers to Telecoms Infrastructure Deployment: Issues and Recommendations

The Broadband Stakeholder Group (BSG) publishes a report on the practical barriers to deployment of telecoms infrastructure across the UK

  • The deployment of telecoms networks is hindered by the variety of approaches to planning regulations by local authorities
  • Practical steps could be taken by Government, local authorities and operators to create a uniform approach to planning and ultimately speed up the roll-out of broadband
  • Tackling these issues now is crucial to facilitate the deployment of future full-fibre and 5G infrastructure across the UK

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Universality and Value for Money: Government Options for Designing the Broadband Universal Service Obligation

The Broadband Stakeholder Group (BSG) publishes report on the design considerations for a broadband Universal Service Obligation (USO)

  • Designing the USO is extremely complicated but the cost threshold for each premise is extremely sensitive
  • BSG research shows that a cost threshold of between £1500-3000 maximises the net public benefit to the UK
  • To maximise the number of premises that can get access to good quality broadband through the USO demand, aggregation is needed
  • Where the cost of connecting premises is above the cost threshold then an alternative measure should be made available

The Broadband Stakeholder Group (BSG) has today launched Impact of a Broadband USO in the UK, a report commissioned from Plum Consulting to analyse the impact of the design considerations of a potential broadband USO in the UK. This report complements the technical advice produced by Ofcom in December 2016 for Government.

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BSG to launch report lowering barriers to telecoms infrastructure deployment

Lowering barriers to telecoms infrastructure deployment

Tuesday 23 May 2017 (10am to 12pm)

techUK, 10 St Bride St, London EC4A 4AD

The Broadband Stakeholder Group will be launching a report, commissioned from Analysys Mason that looks at the practical steps the UK can take to lower barriers to telecoms infrastructure deployment. The report makes a series of recommendations to central and local government, as well as operators, on how we can lower the burden on telecoms operators on issues such as permit and notice schemes and wider planning system pinch points.

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Broadband Stakeholder Group outlines Brexit implications on the digital communications sector

  • Brexit comes at a critical investment period for the digital communications sector as we upgrade to the next generation of fixed and wireless technologies
  • The UK Government can help preserve investors’ certainty by aligning with EU rules for the medium term and re-committing to current regulatory principles
  • Retaining the UK’s current capacity to attract talent and resources will be key for the sector

The Broadband Stakeholder Group today published their first report on the implications of Brexit for the Digital Communications Sector, which directly contributes £30.2bn to the UK economy.

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BSG Publishes New Open Internet Code of Practice

  • New Code of Practice signed by all major UK communications providers, preserving consumer access to the Open Internet
  • Brings UK approach into line with the new EU Connected Continent Regulation

 

8 June 2016: The Broadband Stakeholder Group (BSG) today published a new Open Internet Code 2016, signed by major communication providers and with the wider support of the Open Internet Forum.

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Publication of review of the UK’s Open Internet Codes

Today, the BSG published an independent review into the UK’s industry led approach to the Open Internet. The report, produced by consultancy WIK, found that the UK Open Internet and Traffic Management Codes of Practice have been effective when measured against the principles of an Open Internet. WIK also found that the Codes could continue to add value “over and above the requirements laid out in the Regulation???.

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Publication of the report reviewing the UK’s Open Internet Codes – 17 November 2015

The BSG would like to invite you to the launch event of an independent review, undertaken by WIK, of the UK’s approach to the Open Internet (known as net neutrality) on Tuesday 17 November 1100-1300 at techUK.

In August 2015, we announced the review of the Open Internet and Traffic Management Codes of Practice following the adoption of a political agreement on the EU Connected Continent Regulation.

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BSG Publishes New Model on Small Businesses’ Connectivity Requirements

BSG calls for continued focus on reducing costs to allow superfast connectivity to be made available to all business premises as quickly as possible

 

2nd September 2015. The Broadband Stakeholder Group (BSG), the Government’s leading advisory group on broadband, today published a report on the current and future connectivity requirements of small businesses. The research found that whilst median downstream demand for small business premises will rise from 5Mbit/s in 2015 to 8.1Mbit/s in 2025 demand for the 95th percentile will rise from 12.9 Mbit/s to 41.1 Mbit/s.

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Review launched into UK’s Open Internet Code

Broadband Stakeholder Group commissions independent consultancy to assess effectiveness and recommend future developments

The Broadband Stakeholder Group (BSG), the Government’s leading advisory group on broadband, is launching a review into the UK’s industry led approach to the Open Internet. The review aims to assess the current structure’s effectiveness, its future under the EU’s Connected Continent Regulation and what improvements can be made to the benefit of consumers and content and service providers.

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