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Referral from the Welsh Government of a Scheme to Extend High Speed Broadband in Wales

Competition Markets Authority

December 14
11:30 2023

Administrative timetable

Date Action
13 December 2023 Beginning of reporting period
3 January 2024 Deadline for receipt of any third party submissions (submissions after 5pm on this date cannot be taken into account)
29 January 2024 SAUs report to be published

Request from the Welsh Government

13 December 2023: The SAU has accepted a request for a report the Welsh Government concerning the Scheme to Extend High Speed Broadband in Wales (the Scheme). This request relates to a Subsidy Scheme of Particular Interest (SSoPI).

The SAU will prepare a report, which will provide an evaluation of the Welsh Governments assessment of whether the Scheme complies with the subsidy control requirements (Assessment of Compliance). The SAU will complete its report within 30 working days.

Information about the subsidy provided by the Welsh Government

The Welsh Government is proposing to contribute public funding to subsidise private companies in the telecommunications market sector in the creation of new broadband infrastructure to extend the reach of highspeed broadband across Wales to premises currently receiving speeds less that 30Mbps that are not covered in commercial-led plans to receive faster speeds.

An Open Market Review and Public Review, carried out in 2022 by Welsh Government has indicated that there are 84,174 premises where the supplier market has not delivered broadband above 30Mbps and they have no plans to deliver to these premises in the next three years thus, illustrating market failure to these premises and resulting local and regional disadvantages.

This proposed three-year scheme is to address as many as possible of the 84,174 premises remaining with speeds below 30Mbps and not in any deployment plans, using the 70million clawback fund from the Superfast Cymru broadband deployment scheme. All technologies and innovative approaches will be acceptable and open access solutions prioritized. The only speed criterion is to be equal or greater than 30Mbps, subject to value for money assessment. Award of any subsidy will be through a competitive tendering process.

Information for third parties

If you wish to comment on matters relevant to the SAUs evaluation of the Assessment of Compliance concerning the Scheme, please send your comments before 5pm on the date stipulated in the timetable above. For guidance on representations relevant to the Assessment of Compliance, see the section on reporting period and transparency in the Operation of the subsidy control functions of the Subsidy Advice Unit.

Please send your submissions to us at SAU-WelshBroadband2023@cma.gov.uk, copying the public authority: SubsidyControlUnit@gov.wales

Please also provide a contact address and explain in what capacity you are making the submission (for example, as an individual or a representative of a business or organisation).

Notes to third parties wishing to make a submission

The SAU will only take your submission into account if it can be shared with the Welsh Government. The SAU will send a copy of your submission to the Welsh Government together with its report. This is to allow the public authority to take account of the submission in its decision as to whether to grant or modify the subsidy or its assessment. We therefore ask that you provide express consent for your full and unredacted submission to be shared. We also encourage you to share your submission directly with the Welsh Government using the email address provided above.

The SAU may use the information you provide in its published report. Therefore, you should indicate in your submission whether any specified parts of it are commercially confidential. If the SAU wishes to refer in its published report to material identified as confidential, it will contact you in advance.

For further details on confidentiality of third party submissions, see identifying confidential information in the Operation of the subsidy control functions of the Subsidy Advice Unit.

Contacts

Published 14 December 2023

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