BT broadband funding 'should be held back' header image

Published: 5th Mar 2014

The government should delay the release of further funding for BT's rollout of super-fast broadband

This is according to the Public Accounts Committee (PAC), which wants to see the coalition wait before handing the company the £250 million that is now available.

A PAC spokeswoman told the BBC last week: "It appears with this £250 million that local bodies can simply decide to extend contracts with BT where they are in place. This is just not good enough."

She said the committee wants to see the impact of existing contracts between the company and local authorities before any agreements are extended.

However, a spokesperson for the Department for Culture, Media and Sport told the broadcaster it will not be intervening as procurement "will be a local decision".

BT is the only company to have been granted government funding for the rollout of super-fast broadband, leading some to suggest the firm is in a position to establish a monopoly.