Ahead of the Budget, the President of the British Chambers of Commerce (BCC) is urging the Government to prioritise fixing the UK’s digital foundations, to support growth, and capitalise on AI opportunities.
In the foreword to a new BCC digital report, Baroness Martha Lane Fox raises concerns that businesses will continue to face barriers, if the country’s infrastructure and connectivity are not urgently improved. The crossbench peer tells ministers “you can’t build a new house on shaky ground.”
The report examines whether the UK’s digital connectivity is supporting business growth, and what more needs to be done to harness new technology.
Among the report recommendations, the BCC is calling for ministers to:
- Provide a business specific assessment on threats to broadband, mobile connectivity and data centres in the UK – outlining how outages will be minimised.
- Confirm long-term funding in the Budget to ensure full gigabit coverage for the UK by the government’s updated target of 2032.
- Take urgent steps to address the persistent geographical disparities in gigabit broadband rollout.
- Provide an up-to-date assessment on mobile connectivity and outline ways to provide consistent reliable coverage across the UK.
In the report, Baroness Lane Fox calls out “buffering connections” for businesses, as a “brake on growth”. The BCC President says Government “must be laser-focused” to unlock the economic potential of digital technology “so every community, every business and every citizen can benefit.”
The report highlights the continuing challenges facing businesses in rural areas. BCC research from 2023, found that only 56% of SMEs agreed that their area had reliable broadband, compared with 82% in urban areas.
The BCC is calling on the Government to ensure that both broadband and mobile connectivity programmes are funded properly, and delivery targets are met. The organisation is also looking for reassurance that the growing number of data centres in the UK are built in a sustainable and resilient way, to support business growth.
Baroness Martha Lane Fox, President of the British Chambers of Commerce said:
“The digital revolution is reshaping the UK economy and presenting huge opportunities to businesses of all shapes and sizes.
“But without reliable connectivity in every part of the country, economic growth will be held back. Businesses need a digital infrastructure they can rely on, now and in the future. Firms will struggle to fully harness the opportunities of AI if their broadband is patchy. We need to get the basics right.
“The Budget later this month is an opportunity for the Chancellor to confirm long-term funding arrangements for gigabit rollout.
“Connectivity is the foundation of a thriving digital economy – it’s time to finish the job.”
Read the full report here