BT Group plc’s (LON:BT.A) Openreach network unit said it will connect fibre broadband into three million premises by the end of 2020 as part of its plans to improve internet speeds across Britain.
Openreach will kick off its so-called ‘Fibre First’ programme in Birmingham, Bristol, Cardiff, Edinburgh, Leeds, Liverpool, London and Manchester this year, connecting up to 40 UK towns, cities and boroughs with fibre to the premises (FTTP).
The company, which is a wholly-owned but independent arm of BT, said it would recruit 3,000 engineers this year for the first phase of the programme.
Openreach expects the cost of building FTTP in towns and cities over the next three years to be around £300-£400 per premise passed.
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But it said the pace and extent of the investment will depend on speed with which it can agree the terms of its return on the investment.
Openreach to build ultrafast broadband network
The programme is part of Openreach’s plan to build Britain’s ultrafast broadband network. This involves replacing the UK’s ageing copper telephone lines with faster and more reliable fibre optics.
"Through the Fibre First programme, Openreach is getting on with the job of building an Ultrafast Britain,” said Openreach chief executive Clive Selley.
“We are accelerating our plans to build FTTP to three million premises by 2020 which sets the course to reach ten million by the mid-2020s with the right conditions.”
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Selley said the company is working closely with the government and its telecoms customers to identify areas it can build a FTTP network that is capable to delivering gigabit speeds to all homes and businesses at an affordable cost.
Openreach said it will also push on with its plans to deliver FTTP to 1.1mln rural areas.