1

Broadband Delivery UK

SuperConnected Cities

Chris Townsend – CEO Broadband Delivery UK

2

SuperConnected Cities Programme

• Investment of up to £150 million to support UK cities

• Part of wider £1 billion+ programme to deliver 95% superfast broadband coverage

across the UK by 2017, and to explore solutions for final 5% including gaps in cities

• Broadband Connection Vouchers scheme

• 10,000 vouchers issued by March 2015 (so far 241 in Birmingham)

• Wi-Fi projects

• Wi-Fi in 1000 public buildings by March 2015 (338 in Birmingham)

3

SuperConnected Cities

England

Birmingham, Brighton & Hove, Bradford, Bristol, Cambridge, Coventry, Derby, Leeds, London, Manchester, Newcastle, Oxford, Portsmouth, Salford and York

Northern Ireland

Belfast, Derry~Londonderry

Scotland

Aberdeen, Edinburgh, Perth

Wales

Cardiff, Newport

Broadband Connection Vouchers scheme

• Live in 22 cities to help SMEs access faster and better broadband

• Grants of up to £3,000 to cover installation costs

• Managed by the 22 cities through over 600 registered suppliers

• Re-launched simplified scheme in September:

• Pre-registered packages with suppliers selling direct to SMEs

• Programme of awareness raising across all cities

• Made applying even easier: website – postcode – choose

• Now issued over 5500 vouchers, more than 60% since re-launch 4

5

Application Process

6

Supplier League Table31 October 2014

• Scheme is proving great for

competition

• Smaller suppliers winning vast

majority of vouchers

• Several suppliers extending

networks in response to the

scheme

Rank Nationally Supplier

1. Virgin

2. Metronet

3. Optimity

4. Spitfire Network Services Ltd

5. Unitel

6. Venus

7. AQL

8. CFL

9. Chain Telecom Ltd

10. Tibus

7

• 241 vouchers issued as

of 31 October 2014

• Metronet, CFL and

Birmingham Fibre most

popular suppliers

8

Birmingham example: The Custard Factory

• Metronet (UK) migrating up to 350 tenants

from an old antiquated service to superfast

• Increasing the average Custard Factory

tenants internet speeds by over 10 times

• Customers have typically seen a significant

increase in speed but not in ongoing cost

9

Marketing Campaign

• Re-launched the scheme in September to raise awareness amongst SMEs and

to kick start take-up including:

• Outdoor 48 sheet posters along main roads and in train stations

• Local press advertising and local radio advertising across all 22 cities under the

Business is GREAT brand

• Activity running until March 2015

10

11

Birmingham Mail 13/11 – p24 Bristol Evening Post 06/11 – p25

12

Trajectory

• Significant increase in

take-up since the

campaign launched

• Issued over 5500 vouchers

to date

• On track to issue 10,000

vouchers by March 2015

13

Future

• Chancellor announced extension to the scheme: £40 million to spend in 2015/16

on broadband connection vouchers in more cities

• 12-month extension allows suppliers to make strategic investments supported by

the scheme and to build a longer term pipeline

• Already have some large-scale successes where the scheme has made a real

difference - want to see lots more

• As part of extending the scheme, we will look to work with INCA and its members

to improve connectivity in eligible business parks, working closely with landlords

and cities

Thank you

14