SPONSORED: ‘nexfibre – we should seize Britain’s broadband moment’

SPONSORED

As Labour prioritises growth, nexfibre CEO Rajiv Datta explains how the £3.5bn investment unlocked by the acquisition of Netomnia will boost competition in the broadband infrastructure market, accelerate full fibre rollout, and deliver real benefits to communities across the UK.

Unlocking investment in constituencies across the UK 

This Labour government has been clear: its number one mission is growth that is felt in every community and provides tangible improvements to people’s daily lives.

That is exactly what nexfibre is delivering. Our proposed acquisition of Netomnia is set to unlock £3.5 billion of investment into the UK economy, and towns, cities and communities across the country. 

When our deal to acquire Netomnia was first announced, Labour Investment Minister Lord Stockwood put it plainly: this deal will “deliver real benefits across the UK”. 

And he’s right. 

From Enfield to East Lothian, our investment will mean that up to 2 million homes will be upgraded to full fibre in the coming years. In Enfield, to take just one example, we are investing more than £19 million to upgrade over 117,000 premises with the latest full fibre technology, supporting Labour’s growth mission in constituencies like Enfield North, Edmonton and Winchmore Hill, Southgate & Wood Green. 

But that progress, that investment, must not be delayed. A drawn-out review by the Competition and Markets Authority could see constituents across the country forced to wait for the benefits of the proposed deal. 

Here’s why it’s critical that the process matches our national ambitions to drive growth.

Driving competition in digital infrastructure 

High-quality digital infrastructure is now the foundation for productivity across the modern economy. Reliable, high-capacity fibre enables businesses to adopt cloud computing, support flexible working, deploy data-driven efficiency tools, and realise the full potential of artificial intelligence. 

For too long, the UK’s broadband market has been dominated by BT Openreach. While it has played an important role, its scale means it still sets the terms of the market. Our transaction and investment aims to change that.

By bringing together nexfibre, Netomnia and Virgin Media O2’s fibre assets, we will create the UK’s first scaled, financially secure wholesale challenger to Openreach – one capable of offering all internet service providers a genuine alternative.  

That matters because competition drives better outcomes. It means more choice for consumers, higher-quality connections, and better value for households and businesses alike. It also ensures that no single player dictates the pace or price of Britain’s digital future.

Altnet consolidation is not just inevitable, but necessary

The reality is that the UK’s “altnet” fibre market is at a turning point. There are too many small providers chasing too little capital. Networks have been built, but take-up remains too low. Without consolidation, many of these networks risk becoming stranded assets – undermining the very productivity gains the Government rightly prioritises.

Unlike in energy, there is no supplier of last resort in broadband. If operators fail, consumers face real disruption. And with taxpayer-backed initiatives like Project Gigabit and lending from the National Wealth Fund, the public finances are exposed too.

This is why Ofcom has already recognised consolidation as both necessary and desirable. Our deal is the first major step towards that sustainable future: one where the market is strong enough to invest, compete and deliver for the long-term.

The need for pace by the CMA

And still, an outcome where we see spades in the ground this summer, and billions in capital unlocked to invest in Britain’s digital infrastructure, is not yet guaranteed. 

A lengthy review process risks uncertainty in global investor circles, delaying vital upgrades in Britain’s digital infrastructure. Our deal is a Bellwether transaction for consolidation in the sector; whilst it is considered there will be a chilling effect on the market, where only the incumbent will benefit. Moreover, this will mean constituents up and down the country will have to wait to get the latest full-fibre technology that households and businesses deserve. 

On the other hand, a swift and proportionate CMA decision in line with its pro-growth objectives, will demonstrate that Britain is open for business, serious about growth, and committed to upgrading its digital infrastructure. And constituents will begin to see the benefits this year. 

A pro-growth, pro-consumer decision

This is why our proposal matters.

It accelerates the rollout of full fibre to millions of homes and businesses. It creates a financially secure wholesale challenger that strengthens competition. And it delivers billions in international investment into Britain.

In short, it aligns directly with Labour’s growth mission.

For MPs across the country, the choice is clear: back investment, competition and faster rollout – or accept delay, uncertainty and a weaker digital economy.

This deal offers the opportunity to choose growth. And that is something we should all get behind.

We should seize Britain’s Broadband Moment.

nexfibre is a wholesale-only fibre broadband operator. Today our network is one of the largest in the UK, covering more than 2.6 million premises, with Virgin Media O2 as our anchor tenant.