An influential committee of MPs has heaped further criticism on the handling of the government's high-speed broadband roll-out.

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The roll out, aimed at 'boosting the rural economy' by subsidising superfast broadband coverage to areas of Britain where purely commercial internet providers will not invest in infrastructure, was intended for 2015. However, countryside groups have suggested there is "no chance" the initial deadline will be met, and others have expressed concern over provider BT's monopolisation of the lucrative government contracts.

The Department for Culture Media and Sport (DMCS) has admitted that the broadband scheme is now expected to be delivered in 2017, two years later than anticipated.  

In its last report in September 2013, the Public Accounts Committee (PAC) declared that the scheme had been "mismanaged" and represented poor value for taxpayers' money. The committee found that, "We now have a situation where local authorities are contributing over £230 million more to the programme than forecast in the Department's business case, while BT is committing over £200 million less… and BT will end up owning assets created from £1.2 billion of public money."

On Tuesday (1^st April), Committee chair Margaret Hodge reiterated that, following Fujitsu's decision to pull out of the bidding process in March 2013, BT now has a monopoly of the rural broadband system, having been awarded all 44 government contracts. Hodge said that BT's governance of the contracts has lacked transparency, which could be squeezing other potential providers out of the rural market.   

She said, "The Government has failed to deliver meaningful competition in the procurement of its £1.2 billion rural broadband programme, leaving BT effectively in a monopoly position.
Since our hearing in July last year, when 26 of the 44 contracts to deliver this were with BT, all remaining contracts have now also gone to BT. Despite our warnings last September, the Department for Culture, Media and Sport has allowed poor cost transparency and the lack of detailed broadband rollout plans to create conditions whereby alternative suppliers may be crowded out."

The Committee Chair added that, "Whilst BT claims it is making further concessions, this is not impacting on rural communities," as local authorities and communities have been prevented from accessing information on areas to be covered by the roll-out, which is preventing those who will not be covered from taking alternative action. The Committee found that, "Any lack of clear and easily accessible public information will only make it harder for other potential suppliers to prepare bids for the next round of funding."

Barking MP Hodge added that, in the committee's view, the leniency displayed by DCMS has put BT in a strong position and restricted the Department's ability to negotiate effectively on value for money safeguards such as unfettered cost transparency.

The PAC called on the media and culture Department to work urgently with all local authorities to publish detailed mapping of the plans, laying out areas that will be covered in detail (by postcode), and including information on speed of service as soon as it is available. Committee members added that, ahead of the next round of funding, the department should make moves to engage BT's competitors and ensure there is real value for public money being spent.

Hodge also criticised the Department for failing to heed the PAC's recommendations made in September. The Committee chair continued, "BT’s monopoly position should have been a red flag for the Department. But we see the lack of transparency on costs and BT’s insistence on non-disclosure agreements as symptomatic of BT’s exploiting its monopoly position to the detriment of the taxpayer, local authorities and those seeking to access high speed broadband in rural areas."

"For example, in the case of Cumbria, people wrote to us to say that BT was still not allowing the County Council to release sufficiently detailed rollout information. But the Department thought that the Cumbria County Council was able to publish the data it wanted to."

As early as 2012 the government's roll-out scheme had been criticised for failing to engage with or empower rural communities. The Plunkett foundation, which offers support to community organisations and cooperatives, warned that "The issue of high speed broadband for rural communities is about more than just technology; communities themselves will need to play a crucial role in bridging the gap between government and market plans and lack of provision, but the debate so far has failed to empower communities."

Not content to wait for the roll-out, or concerned that they may form part of the 10 percent of rural communities left in the dark, a number of community groups have come together in rural regions to establish broadband access for themselves. One such group is the Bay Broadband Cooperative in Robin Hood's Bay, North Yorkshire, a 'not for profit' Social Enterprise Co-operative set up to bring broadband to the remote coastal village and its surrounding farms.