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BT to give back £129 million broadband subsidies to local authorities
A clause in BT’s contract with Broadband Delivery UK (BDUK) stated that if take up exceeded the expected 20 per cent, then BT would reinvest the funding it had received.
BT will now work with councils to see where the funds can be used to ensure increased fibre coverage to more homes and business in some of the hardest to reach places in the UK.
John Whittingdale, secretary of state for culture, media and sport, said: “The Government was clear from the start that as levels of people taking up superfast broadband went beyond our expectations in areas where we invested public money, BT would reimburse the taxpayer for reinvesting into further coverage across the UK.
“This now means that BT will be providing up to £129m cashback for some of the most hard to reach areas.”
Gavin Patterson, CEO of BT, said: “We’ve hit our original take-up assumption and have rolled out ahead of target and on budget. This is a real success story for the UK.
“We are delighted to be able to share that success by making up to £129m available to extend the roll-out to more BDUK homes and businesses, earlier than planned and at no extra cost to the taxpayer.”
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