The UK government has today proposed a new Statement of Strategic Priorities (SSP) for UK mobile and broadband services. This broadly requires Ofcom to deliver on existing targets, ensure a smooth copper to fibre network migration, monitor take-up of gigabit-capable broadband, distribute radio spectrum fairly and facilitate infrastructure sharing etc.
Broadly speaking, the proposed SSP does not offer much in the way of surprises and largely summarises targets and programmes that the government, industry and Ofcom were already in the process of doing. But such summaries can still be useful by virtue of helping people to see what broad issues and challenges are currently occupying the industry, as well as how much progress is being made on them.
Proposed Statement of Strategic Priorities (2025)
Strategic Priority 1: Driving growth through world-class fixed and wireless digital infrastructure
The government wants all users to be able to enjoy the benefits of safe online spaces. The expectation cannot fall on users to take precautionary steps to avoid severely harmful content and keep themselves safe online. We want to see services that are safe by design, where features are chosen and designed to limit the risk of harm to users. This should be a basic principle for operating in the UK market.
The government ambition for telecoms is high. Over 87% of UK premises have access to a gigabit-capable connection and the government wants to see this extend to 99% by 2032. And while 4G connectivity across 95% of the UK’s landmass will help ensure that communities and business everywhere can benefit from good connectivity, our ambition is to go further and to have high quality, standalone 5G in all populated areas of the UK by 2030.
1a. supporting growth through access to gigabit-capable fixed telecoms connections
Ofcom’s regulatory regime has facilitated significant investment and growth in the fixed telecoms market. Building on this success, Ofcom should over the course of this Parliament ensure that the encouragement of investment and economic growth are key factors taken into account in its regulatory decisions.
There are a number of ways in which Ofcom can continue to support access to gigabit-capable fixed telecoms connections:
Ofcom should exercise its regulatory powers to take prompt steps to remedy actions which present a risk to effective competition. Ofcom should closely monitor Openreach’s commercial terms and pricing, given that Openreach benefits from economies of scale that new entrants cannot rely on yet. Ofcom should prevent Openreach from offering commercial arrangements that would have a detrimental effect on the establishment of sustained competition, while sustained competition is still developing in the market.
- Having several networks building in the same area is only the first step towards having established competition, and the government expects Ofcom to take a cautious approach when considering whether it is appropriate to remove remedies, so that competition can be maintained over time.
- Regulation should continue to support operators’ investment in the continued roll-out of fibre networks over the next 5 years and beyond. As such, Ofcom should ensure predictable and evidence-based regulatory decisions, focused on its core objectives of promoting competition and protecting consumers, and should monitor the impact of regulation on investment.
- Promoting investment and competition in the fixed telecoms market should continue to be prioritised over regulatory measures to further reduce retail prices in the near term.
To support broadband for businesses:
- Ofcom should continue to ensure that businesses across the country, including those in rural areas, are able to access the fast, reliable, and resilient broadband services they need to thrive. The regulator should work to ensure a healthy business connectivity market is treated as a priority, and in light of its growth duty, Ofcom should have regard to the impact on UK economic growth, as well as investment and competition in the telecoms sector, when assessing whether to introduce or remove regulatory remedies.
To support universal access:
- Ofcom should monitor pricing differences in gigabit-capable broadband between geographic areas and localities. For any areas of the UK with only one network operator Ofcom should, alongside government, consider steps to ensure consumers do not have to pay excessive prices due to a lack of local competition.
- The regulator should work with government to review the Broadband Universal Service Obligation and make any appropriate changes.
Infrastructure sharing:
Introducing unrestricted access to Openreach’s national network of underground ducts and poles via its Physical Infrastructure Access (PIA) product has transformed the competitive landscape of the UK fixed telecoms market. It is the government’s view that:
- Ofcom should ensure that Openreach continues to provide unrestricted access to its physical infrastructure to all communications providers on equivalent terms, unless it can demonstrate that a difference is justified.
To ensure sustainable long-term competition in the fixed telecoms market, Ofcom should ensure Openreach complies with the “no undue discrimination” condition set out in Ofcom’s Significant Market Power (SMP) conditions, thereby treating all communication providers in a fair and transparent way.
– Ofcom should closely and proactively monitor Openreach’s compliance with the no undue discrimination principle, so that communications providers have confidence that Ofcom takes allegations of anti-competitive behaviour seriously.
– Ofcom and the Openreach Monitoring Unit (OMU) should take reasonable and practicable steps to demonstrate transparency in its monitoring and enforcement activities, including by publishing regular reports on its work. This extends to demonstrating greater transparency in how Ofcom calculates and sets PIA prices. It is important that communications providers have confidence that Ofcom, and in particular the OMU, takes allegations of anti-competitive behaviour seriously. If Ofcom finds that Openreach is not complying with its regulatory obligations, it should consider all enforcement options to ensure compliance.
– Any changes to the PIA framework in the Telecoms Access Review should be proportionate, evidence-based, and support competition and investment within the fixed telecoms market. The regulator should also use the evidence received from industry to ensure the pricing model is fair and reasonable and publish an explanation for how the pricing is calculated.
– Beyond the PIA product, the regulator should work with network operators alongside the government to ensure that existing ducts and poles are shared wherever possible to minimise the duplication of broadband infrastructure.
To support the modernisation of telecoms networks:
- Ofcom should collaborate with the telecoms industry, government, and other partners (like the telecare sector) to ensure that there is no significant adverse impact on Critical National Infrastructure throughout modernisation programmes, and that vulnerable consumers are adequately protected. This entails actively monitoring the industry transition programmes of all providers to ensure providers put in place appropriate safeguards, including reporting of consumer harm, and taking measures where possible and necessary to avoid harm to vulnerable customers.
- The regulator should also ensure that these transitions do not have an adverse impact on wholesale competition.
- Consumers being switched from copper to fibre would benefit from having the appropriate level of information provided to them by their supplier regarding services offered by other networks and alerted to options which might be available to them.
To support take-up:
- Where appropriate, Ofcom should work with the government to support gigabit take-up and should report every 6 months on levels of take-up alongside reporting on coverage.
- Ofcom should continue to monitor the use of One Touch Switch and its success. More widely, the regulator should take all efforts to support effective and straightforward switching between providers in order to enable competition and enable more people to benefit from gigabit broadband.
- Ofcom should continue to support greater use of consistent terminology between providers.
1b. supporting growth and productivity through investment in high-quality 5G networks
Widespread deployment and adoption of high-quality 5G can help people become better connected and our businesses and public services to become more efficient and innovative. As 5G deployment is commercially driven, it is critical that government has the pro-investment policy and regulatory regime that will deliver the connectivity the UK’s citizens, businesses, and public services need in all areas of the country.
We are seeking Ofcom’s support in the following ways: ensuring effective competition; monitoring investment in 5G networks and the cost of regulation; and identifying any regulatory changes that may be needed.
To ensure effective competition:
- Ofcom should ensure that competition in the mobile market is working effectively and should proactively identify where it may not be. To support this:
- At appropriate intervals Ofcom should assess the technological developments and competitive dynamics shaping the mobile market and consider the impact this may have on operators’ ability to invest in network infrastructure.
- In considering competition issues in the market and how to address them, Ofcom should continue to work closely with the Competition and Markets Authority, under concurrent competition powers, on issues that cut across sectoral and competition concerns.
- Annual Licence Fees (ALFs) for mobile spectrum are set by Ofcom to reflect the market value of the spectrum based on its opportunity cost. This is intended to provide a long-term indication of the value of spectrum to incentivise its optimal use. As such, the ALF framework must support optimal market outcomes.
To monitor investment in 5G networks and the cost of regulation:
Commercial investment in high-quality 5G networks must be underpinned by a stable policy and regulatory framework. Investment in 5G should be closely monitored by Ofcom and appropriate options considered if it becomes clear that investment in networks is not being achieved at sustainable levels. In particular we would welcome regular reporting from Ofcom on the cost of regulation to industry, the impact of regulation on investment and whether the regulatory framework could be amended to better support long-term investment and growth in telecoms networks.
Building on the launch of the updated mobile coverage checker ‘Map Your Mobile’, Ofcom should continue to develop its coverage reporting of 4G and 5G networks and help track progress of the mobile network operators’ delivery of 4G across the UK’s landmass, including through the Shared Rural Network programme. Specifically, we have asked Ofcom to continue improving the quality of its coverage reporting on mobile network availability and quality, including by:
- keeping under review, and consider explicitly for each of its reports, its definitions of what constitutes “good” 4G and 5G and the signal strength thresholds it uses to measure this, so that these definitions continue to reflect consumer and business expectations as user requirements and behaviours evolve;
- provide coverage and performance data sets on a per county and per constituency basis;
- report on the availability of standalone 5G in the same way that it reports on the availability of 4G and combined standalone and non-standalone 5G; and
- provide specific coverage and performance data for the UK’s road and rail infrastructure in its reporting, based on drive and walk test measurements. Ofcom should consider working with local authorities, as well as third party organisations to gather this data.
We welcome Ofcom’s efforts to support widescale adoption of advanced 5G as this will drive significant economic benefits. Whilst any changes to the Open Internet Access regulations would be a decision for government, it is important Ofcom continue to support an approach to the open internet that fosters innovation by ISPs and the wider internet ecosystem, whilst protecting consumers.
- Ofcom should continue to work closely with government on net neutrality, including informing government of the impact the updates to net neutrality guidelines have had on the market to date and whether they consider any further changes are required.
Strategic Priority 2: Driving growth through maximising access to spectrum
We must continually strive to maximise access to and use of spectrum for the growing number of wireless applications across the economy. This will require a range of measures, including implementing new spectrum management techniques, adopting innovative technologies that enhance spectrum efficiency, and enhancing spectrum sharing, where appropriate. For example, dynamic and automated spectrum access could hold potential for more efficient spectrum access.
- The introduction of the spectrum sharing framework in 2019, including the availability of the 3.8-4.2 GHz band for shared access licences, was a pioneering step. Ofcom should continue to maintain and build on this innovative approach.
- Full automation of the licensing process for shared spectrum bands could unlock growth across different sectors. Ofcom should assess the potential of full automation of the shared access licences and explore how this might further reduce licensing approval times.
- Ofcom should continue work to ensure those who have an occasional need for shorter-term license durations, such as the Programme Making and Special Events (PMSE) sector, are able to access these licences in a timely manner via the shared access bands.
- We encourage Ofcom to continue to support the evolution of spectrum access mechanisms and improvements in spectrum sharing. We expect learnings from initiatives such as DSIT’s spectrum sandboxes to inform future policy and regulatory decisions.
To support public sector spectrum access:
- The public sector is a major user of spectrum, in particular for defence. The government’s goal is to ensure that public sector users have access to the spectrum they need to support strategic government priorities and deliver critical services, while ensuring efficient use of spectrum and maximising opportunities to boost spectrum value and growth through sharing or release for commercial applications.
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- Following the conclusion of the Public Sector Spectrum Release Programme, DSIT is working across departments and with Ofcom to implement a new public sector spectrum framework. Ofcom will continue to have a crucial role to play in this framework, including through proactive cooperation with relevant government departments and agencies to understand their strategic requirements, by providing regular reports to government on emerging civil demand, and by inputting to relevant boards.
To ensure Emergency Services, transport, and utility sector telecommunications needs are met:
- Ofcom should ensure that Emergency Services Network requirements and the safety of life and other related implications are factored into decisions on spectrum allocation as appropriate.
Ofcom should continue to engage with government and other relevant stakeholders to identify the telecommunications needs and any potential spectrum requirements across transport and different utility sectors. Ofcom has an important role to play in ensuring the appropriate solution is identified.
To support spectrum for audio and video Programme Making and Special Events (PMSE):
PMSE refers to the use of wireless devices for creating content and managing events, this includes equipment such as wireless cameras and microphones. There has been a steady rise in the use of PMSE audio and video services, which are crucial for the creative industries (e.g. film and TV production, theatre, and concerts) and sports events.
- Ofcom should undertake and publish a review of spectrum requirements and technological trends for audio and video PMSE.
To support the Future of Digital Terrestrial TV (DTT):
- Ofcom is proactively engaging with the government on the Future of TV Distribution Project. We encourage Ofcom to continue this engagement, including to ensure that there is appropriate consideration given to both the potential value of the spectrum and the need to continue serving audiences.
- Ofcom should also advise government of the possible impact of any decisions taken on the future of TV distribution on the PMSE sector, to ensure that these users that deliver significant value to the UK creative sectors continue to have suitable access to spectrum.
To support space sector ambitions:
- Access to appropriate spectrum is essential for enabling a resilient, competitive, and innovative UK space sector that delivers real benefits to citizens and ensures secure capabilities. Shaping the international spectrum framework so that it supports the space services that we rely on, including space science services, and ensures that the UK space industry can thrive globally, should be a priority for Ofcom.
- Ofcom’s spectrum management should enable the development of UK capabilities in space domain awareness, in-orbit servicing, assembly and manufacture, space data applications, position, navigation and timing services, and satellite communications.
To maximise influence in international spectrum negotiations:
- Global coordination and management of spectrum use is essential to ensure efficient allocation and use of spectrum, protect users against harmful interference and enable economies of scale and interoperability across regions.
- We want to work collaboratively with our allies and global partners in international fora to establish common interests, advocate for UK interests, and push for an international framework on spectrum that works for the UK, Europe and globally.
- Ofcom should be cognisant of UK government objectives when representing the UK and advocating for the UK’s interests and strategic objectives at international fora. This includes continuing to work closely with the government to ensure that strategic priorities, such as national security and resilience, are appropriately considered and reflected throughout international negotiations. Relevant fora include the International Telecommunication Union (ITU) and European Conference of Postal and Telecommunications Administrations (CEPT).
Fit for purpose regulatory regime:
- We expect Ofcom to proactively update government on changes to the suitability of the current spectrum management framework and the scope for legislative updates to support advancements in regulatory tools.
- Ofcom should continue to regularly review and report on its performance against its statutory duties and objectives in carrying out its spectrum management functions.
Strategic priority 3: Supporting growth through a transparent, competitive, and fair retail market
- The government supports Ofcom’s shift in focus towards monitoring and evaluating consumer-focused interventions and would see merit in Ofcom evaluating the impact and costs of regulatory interventions collectively.
- It is important that overall satisfaction is sustained and improved where possible. Ofcom, where appropriate, should work with operators to address specific concerns about customer care. This includes ensuring complaint handling processes are fit for purpose and ensuring that the routes available for consumers to escalate their concerns, such as Alternative Dispute Resolution services, are clear and offer a consistent experience for customers.
- As part of its existing duty to monitor the affordability of telecoms services, Ofcom should continue to undertake analysis on the state of the market and establish a regular and consistent reporting cycle, able to highlight trends and changes over time.
- Ofcom should continue to explore other steps which may improve consumer confidence in new and emerging broadband and mobile retail providers. For example, among other things, by focusing on providers compliance with their regulatory obligations and – where appropriate – encouraging them to sign up to voluntary approaches such as the automatic compensation scheme.
- Ofcom should continue to work with telecoms operators to identify and address the vulnerabilities in telecoms networks that are exploited by criminals, and we expect further close collaboration with government over the coming years.
- Ofcom will be an important stakeholder in helping to assess the potential merits of establishing a Smart Data scheme in telecoms, including determining the costs and benefits of such a scheme for industry.
To support digital inclusion:
- This government believes in opportunity for all and recognises that robust connectivity for individuals and businesses, irrespective of their location, is a vital enabler of digital inclusion, which sits at the heart of our plans. However, digital inclusion encompasses more than merely affording and accessing broadband or mobile service. Ofcom holds significant influence, and the government encourages it to leverage this position to promote safe digital participation. As outlined in the Digital Inclusion Action Plan, UK regulators have a vital role in protecting and informing the public. The government would encourage Ofcom to consider how they can best contribute to addressing digital exclusion, including collaboration with other regulators where appropriate.
To support vulnerable consumers:
- The government would like to see Ofcom to continue to take all opportunities to improve the consumer experience in the telecoms sector, particularly for vulnerable consumers, including those with disabilities and those who are financially vulnerable.
- The government would like to see a more consistent approach across the sector to vulnerability, and Ofcom might consider lessons learnt during the COVID pandemic, the rise in the cost of living, and the Public Switched Telephone Network (PSTN) migration to Voice over Internet Protocol (VoIP), to encourage operators to adopt a more consistent approach and where possible share data to ensure that vulnerable consumers are accurately identified, and getting a consistent level of support.
- Ofcom should continue to work with other sector regulators and government to establish the best way to achieve a cross-sector method to identify and support vulnerable consumers.
To support the consumer voice:
- It is essential that regulations are informed by the groups and individuals they are likely to impact.
- Ofcom should continue to make additional efforts to engage with those groups likely to be affected by regulatory changes, including individual businesses and residential customers. The Communications Consumer Panel maintains an important role ensuring the interests of consumers are represented. It needs to be suitably informed and engaged on issues likely to affect consumers of telecoms services and their views and opinions should be given due weight.
Strategic priority 4: Maximising opportunities for growth through secure and resilient telecoms infrastructure
The government, Ofcom and the telecoms industry must work together to ensure the UK’s publicly available networks and services, including relevant land-based and subsea infrastructure, are appropriately and proportionately protected against threats and hazards. They must also be able to respond effectively to disruptive incidents affecting the UK’s networks or services.
To achieve these objectives, the government advocates a proactive regulatory approach to the security and resilience of telecoms networks and services. The Telecommunications (Security) Act 2021 and associated Electronic Communications (Security Measures) Regulations 2022, have placed new security obligations on public telecoms providers. Ofcom is responsible for monitoring and enforcing compliance with these legal obligations, including:
- Assessing the security practices of larger telecoms providers. This includes ensuring providers are complying with their relevant security duties and using Ofcom’s powers to request and review relevant information, interview technical and management staff and observe work on company premises.
- Taking action where security is, or is at risk of being, compromised. The Act requires telecoms providers to report security compromises to Ofcom. Where a compromise is reported, or where Ofcom considers there a risk of it occurring, Ofcom can require the provider to inform the affected people and businesses. Where Ofcom has reasonable grounds for believing that the compromise or risk of it occurring results from a breach of a security duty, it can require providers to take action to limit or mitigate the incident’s impact.
- Making information available to the government, including through annual security reports. Ofcom must provide specific annual security reports to the government, in addition to updates on general network security and resilience as part of its existing infrastructure reports.
It is crucial that the networks that provide electronic communication services are resilient to disruption. The government’s resilience priorities in this area include:
- Power resilience: power resilience of telecoms networks and services is a cross-sectoral challenge. Ofcom’s work on power resilience could include gathering and analysing data from mobile operators, the power sector and other relevant sources; examining what measures in the mobile access network may be appropriate and proportionate; and developing additional guidance as required. It will also be important for Ofcom to work closely with communications providers, the government and the power sector on collaborative efforts that reduce the likelihood of power cuts leading to a loss of services and reduce the impact of any loss of services to consumers.
Incident reporting and publication of outage data: the procedures for communications providers to report security and resilience incidents is kept up-to-date, and that the data provided to the public on incidents, which is currently in the form of a summary text in the annual Connected Nations report, is more detailed, interactive, and transparent. This will help the public understand the picture in their local area and allow Government and stakeholders to better understand issues and trends, both of which may drive better performance and outcomes for the public.
- Satellite emergency calls: Ofcom should ensure that access to emergency services via 999/112 through all spectrum adheres to the same regulations as mobile and fixed line communications.
- Net zero and climate adaptation: Ofcom should continue to support HMG’s wider duty under the Climate Change Act 2008 to assess the risks of climate change and set out its policies for meeting those objectives, through Ofcom’s existing work under the Communications Act 2003. This includes continuing to provide resilience standards and guidance to communications providers to ensure they are adopting measures which factor climate change implications into their network planning and decision making to maintain network and service reliability.
- Secure, resilient, and innovative telecoms supply chains: a healthy and diverse supply chain for the technology that goes into the UK’s telecoms networks is essential for security and resilience – ensuring that UK network operators can deliver good, reliable connectivity for all. Innovation in future telecoms technologies – one of the critical technologies identified by government – will also drive growth. Ofcom should provide a regulatory environment that supports operators to adopt innovation in their supply chain so that the UK is seen as a leading place to develop these technologies.
