London tech firms hampered by poor broadband

London tech firms hampered by poor broadband

Start-up technology companies in London are complaining that they are facing major problems due to a poor broadband service that is ‘not fit for purpose’.

Delays in installing internet services and high fees have led to a number of new businesses quitting the Tech City area of the capital, which was designed to house fast-growing firms in the sector. MP Meg Hillier, who described the issue as a ‘national embarrassment’, has met with companies to hear their complaints.

She said that although Government grants are available to help with connections, some businesses have faced problems dating back around four years, IT Pro Portal reported. Ms Hillier called for a review of broadband provision and infrastructure in the area and a competitive framework to deliver better services.

There are concerns in the tech sector that problems will continue until commercial landlords recognise that a good broadband service is as essential to tenants as water and electricity supplies, and that fast broadband should be set up when they take office space so they can begin working immediately.

BT is aiming to tackle the problem with a pilot project starting in October. The Shoreditch area in east London, which houses Tech City, currently only has high speed broadband in around 75 per cent of its business premises.

Joe Garner, of BT Openreach, told The Guardian: "We have asked Tech City UK for help to identify the businesses most in need and will invite them to join the pilot. One of the issues we've had is it's very hard to define Tech City as a geographic area. Some definitions we've seen encompass properties as far away as the Olympic Park."

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