Cities vie for extra broadband budgets

Ministers have invited Leeds, Bradford and Sheffield to bid for a share of £100m along with 11 other cities to fund broadband speeds 40 times faster than basic internet connections.

Those behind the initiative hope the networks will help city economies grow by supporting small and medium sized firms and target strategically important employment sites.

Plans for as many as 10 “super connected cities” were unveiled in Chancellor George Osborne’s Autumn Statement last month, and the successful bidders will be named in the March budget.

The four capitals – London, Edinburgh, Cardiff and Belfast – have already been named as beneficiaries while the others will be chosen from England’s eight largest cities, plus Bradford and Glasgow.

Culture Secretary Jeremy Hunt said: “The internet is now a fundamental part of our economy. We must ensure the UK has a broadband network fit for the digital age. Transforming communities into super-connected cities will enable them to compete with the world’s top digital cities.

“It will help them attract new jobs and new investment and make the UK a place where digital businesses look to come. It will help our creative industries and high-tech companies grow while making the UK even more attractive to overseas firms.”

The successful cities will benefit from speeds of between 80 and 100 megabits per second (Mbps).

Basic internet connections can be as low as 2Mbps, while superfast broadband is anything over 24Mbps.

The taxpayer cash will help BT and Virgin access areas of those cities which they would otherwise not reach, or to offer extra services which would not otherwise be viable. The cities will also have to provide extra cash.