John Henry COMMUNICA Issue Four | Page 46

COMMUNICA | Issue Four The average 30mb connection speed for the UK falls below the 1GB connections of countrlies like Sweden. seven years, after which it must be replaced with newer, faster equipment so partnering with the private sector ensures adequate skills and up to date equipment are delivered and supported. In contrast, fibre has a useful life of at least 40 years. Fibre strands do not decay, corrode, rot, wear or expire. If left undisturbed, they will continue transmitting data for decades with no or minimal maintenance or upgrades. Fibre is the perfect asset for a local government to invest in to improve the local infrastructure for economic development. Fibre can be financed over time frames that are comparable to other public infrastructure projects, such as asphalt or concrete, and in ways the private sector cannot contemplate. What’s more, unlike concrete and asphalt, fibre can provide a revenue stream necessary to repay debt without unduly burdening the other capital obligations of the local government. This revenue share itself is an ideal way of funding future growth of the network. The benefits are widespread as technological development advances at an exponential speed where Internet of Things (IOT) and Smart tech demand ‘on the fly’ real time cloud based functionality requiring ever increasing speed both up as well as down from the internet data centres. Simply the copper telephone lines of the past can 46 | never be as future proofed as fibre direct to the subscriber (FTTH). Coupled with this, plans unveiled by Chancellor George Osborne in 2015 revealed that councils in England will be able to keep the proceeds from business rates raised in their areas from 2020 instead of passing 50% to the central purse and then asking for grant money back. Whilst on the surface an attractive arrangement it however puts the responsibility back on councils to generate business rates. He quotes “attract a business, and you attract more money; regenerate a high street, and you’ll reap the benefits; grow your area, and you’ll grow your revenue too”. Nothing attracts businesses to a location, encourages start-ups, and invites inward investment more than access to high speed internet so councils will need to take a proactive role in deploying fibre in their boroughs. But that doesn’t mean local governments should all become Service providers. “Sweden has a policy of 98% of citizens having a min 1000mbps or 1Gig speed up and down both at home and work, by 2025.”