Potential separation of BT Openreach to go before MPs

Dieter Helm, Oxford academic, is set to present evidence before the Culture, Media and Sport Committee, supporting the full split of Openreach, the company that maintains and builds the network infrastructure, from BT.

The committee consists of 11 MPs and was set up in November to investigate superfast broadband coverage. During the period between then and now, the committee has received submissions from over 100 businesses and individuals and is expected to report its findings to the Government in April.

Jesse Norman MP, the committee chair, commented on the start of the evidence hearing: “Broadband connectivity is very close to our hearts, and it's not surprising that was the first inquiry we decided to hold.”

BT's chief executive, Gavin Patterson, Ofcom telecoms regulator, Sharon White and Ed Vaizey, digital minister will also give evidence, The Telegraph reported.

The start of giving evidence to the committee comes just days after Ofcom refused to break up BT and Openreach in its review, but warned BT that “urgent improvements are needed” to improve speeds or give customers compensation for slow speeds and poor internet connectivity.

It warned BT of a potential future split if these improvements were not made and has forced BT to help rivals to use its network.

However, Dieter Helm will argue for a complete break up to the committee warning that Britain faces going backwards from its position as a digital leader.

He further argues that broadband should be treated as a utility like other energy, water and transport as businesses and homes in the modern age cannot function without it.

“The practical question is when, and at what cost, for the delay. The lesson from the history of British utilities – and those across Europe – is that structural separation will come,” he said.

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