Benham Publishing Businesss Magazines February 2014 | Page 25

ChamberPolicy Digital infrastructure - Steven Leigh Head of Policy and Representation Key to our economic future For further details call Digital communication technologies are an increasingly vital component of our national infrastructure, and a progressively important aspect of our national competitiveness. 07809 658533 or email: [email protected] The plan has identified several aims; to help address the productivity gap, to improve the City Region’s inward investment offer, to increase business start-up rates, to support growth in key sectors, to boost innovation and knowledge transfer, and to improve access to employment for excluded groups. The advent of global communication networks has revolutionised business; has made vast and distant markets accessible and has changed the way in which we market and broadcast products and services. Businesses in all industries and sectors now rely on fast and reliable internet connections. Whether it is to communicate instantly with clients or partners across the globe, or to engage directly with customers and colleagues in our own local area these connections are critical to business. It is therefore crucial that our digital infrastructure is fit for purpose. Not only is this an essential factor of our businesses effectiveness, but it will increasingly be a consideration for foreign investors looking to locate in our country. For this reason the Leeds City Region (LCR) and its constituent local authorities have identified digital infrastructure as a priority for investment. The West Yorkshire Local Broadband Plan is aiming to ensure that all areas of our region have access to superfast broadband by 2015. This forms the first part of a 20 year vision for our region, set out in the LCR Digital Infrastructure Plan. This plan represents an ambitious vision for boosting our region’s economic competitiveness, extending new opportunities and growing our economy through exploitation of digital communication technologies. The UK’s digital economy is substantial, representing 8.3% of GDP more , than that of the United States, Japan, China or Germany. The National Institute for Economic and Social Research (NIESR) found that the digital economy comprised 270,000 active companies, representing 14.4% of all companies in the UK. However, only 25% of total broadband subscriptions in the UK are superfast, compared to 35% in Sweden and 52% in the Netherlands. It is evident that the UK has a head start in a fast growing sector, with entrenched expertise, innovation and experience among mature and new firms. However, it is essential that this potential is not squandered because of Government underinvestment in the infrastructure required to support the digital industry. There must be full recognition of its size and importance - as well as the enormous potential it presents for leveraging our national expertise and experience within the UK as well as in valuable export markets. In 2010 the UK Government set 3 targets: to increase Next Generation Access to 90% of the population, to provide 2mbps access for the final 10% of the population, and to extend mobile coverage to 99% of the population. In order to reach these targets the Government allocated £530m to the Broadband Delivery Programme, a further £150m to the Urban Broadband Fund and £20m to the Rural Community Broadband Fund, and set aside £150m for the Mobile Infrastructure Project to cover rural “not-spots”. These are creditable schemes and will help to deliver greater coverage and access. However, these initiatives should be partnered with a concerted effort to increase take-up, particularly among small firms, and consideration should be given to the future skills needs of an increasingly digital-focused economy. Particular attention should be given to business, espe