The key to inclusive growth
Digital connectivity underpins almost every aspect of modern life, from economic productivity and public services to education and healthcare. Yet the UK risks falling further behind global competitors unless long-standing gaps in mobile and broadband coverage are tackled and the digital landscape is fundamentally reformed.
This is the central warning from a new report from the Digital Communities All-Party Parliamentary Group (APPG), for which the LGA provides the secretariat.
The APPG highlights that an ongoing lack of mobile and broadband coverage in parts of the country is undermining national ambitions for economic growth, social inclusion, and global competitiveness.
As a cross-party group of parliamentarians, its mission is to champion the creation of digitally equipped places that support connected, healthy and productive communities.
Its latest report – ‘Reconnecting Britain: restoring trust, connecting communities and driving inclusive growth’– calls on the Government to commission an urgent, independent review of the UK’s digital connectivity landscape. It also urges stronger regulatory scrutiny by Ofcom, more strategic investment in connectivity as a driver of economic growth, and decisive action to encourage competition and innovation.
Helen Morgan MP, Chair of the Digital Communities APPG, said: “People in areas with persistently poor broadband or mobile coverage are left at a digital, social and economic disadvantage, and risk losing out on opportunities for skills development, employment and community engagement.”
She added that an independent review is essential “to restore trust, ensure transparency and unlock the full potential of our economy”.
The report acknowledges that while progress has been made in expanding digital infrastructure, the UK risks falling behind other countries unless adoption of high-speed broadband and 5G networks accelerates.
“Every £1 invested in digital inclusion delivers a return of £9.48 to the wider economy”
In particular, it highlights previous sector research showing that the successful adoption of 5G and full-fibre could deliver gains worth more than £200 billion by 2035.
However, current coverage data relies heavily on operator-supplied modelling, which often fails to reflect real-world experiences and has led to policy decisions that do not align with actual need.
Across the UK’s digital infrastructure, there are significant structural barriers that stifle innovation, including inefficient planning processes and outdated legal frameworks.
Breaking down monopolies and fostering a level playing field will be critical to accelerating rollout and closing the digital divide.
Local government also has a critical role to play. The report calls on local authorities to streamline planning processes, simplify pre-application costs for mobile infrastructure, and revise pricing models to reflect the realities of different types of infrastructure and ownership.
Local government should audit existing connectivity levels, identify priority areas for investment, and must work closely with local skills providers, education institutions and industry to build a strong digital skills pipeline.
The potential rewards are substantial. Sector research highlights that closing rural connectivity gaps alone could generate an additional £19 billion in annual tax receipts and every £1 invested in digital inclusion delivers a return of £9.48 to the wider economy.
The challenge is significant, but without reliable access to high-speed digital services, the UK cannot meet its economic ambitions or deliver truly inclusive growth for the communities it serves.
- Read the APPG report in full. See also www.local.gov.uk/parliament.