According to the chief secretary to the Treasury, Danny Alexander, superfast broadband services will reach 95% of the population by 2017, which is behind its original target of reaching 90% by 2015.
It has already committed $530 million to investing in rural services, which is now set to increase by an additional £250 million after 2015. Opposition MPs have since attacked the announcement, claiming the budget fell short of the £300 million promised under plans set in 2010.
The government claims the funds are required to subsidise broadband rollout in rural areas, where investment has been avoided by the private sector.
BDUK, the governments rural broadband organisation has also been overhauled and it was criticised for creating a complicated auction process with only one bidder – BT – that won state subsidies.
