BT Group PLC’s (LON:BT.A) voluntary offer to connect remote homes to superfast broadband has been rejected by the government.
The government will instead enforce the legal right to an upgrade of the UK’s broadband network to ensure it can deliver on its promise for access to speeds of at least 10 Mbps by 2020.
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BT’s Openreach subsidiary, which is responsible for the infrastructure, had offered to speed up improvements to 1.1 million rural homes but the government said it believes its regulatory Universal Service Obligation offers "certainty".
Culture secretary Karen Bradley said: "We are grateful to BT for their proposal but have decided that only a regulatory approach will make high-speed broadband a reality for everyone in the UK, regardless of where they live or work."
Broadband providers will be legally required to provide high-speed broadband to customers, subject to a cost threshold.