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BT dismisses claims of overcharging for public broadband rollouts

Wednesday, September 19th 2012 by Paul France
BT denies it is overcharging councils for super-fast broadband deployments
Telecoms giant BT has denied inflating the cost of super-fast broadband rollouts to win more state funding.

BT has rubbished claims it is hiking up the cost of rolling out super-fast broadband to rural communities under the Broadband Delivery UK (BDUK) framework.

Br0kenTeleph0n3, the website of business and technology writer Ian Grant, accused the telecoms giant of attempting to hide the true cost of installing next-generation broadband in these areas by adding new job types and overheads.

The report also stated BT is failing to reduce costs to take into account communities that already have access to fast broadband.

Mr Grant said councils could end up paying almost twice the going rate by accepting these proposals, leaving BT without the need to put its own money toward the rollouts.

Responding to the claims, a BT spokesman insisted it is "ludicrous" to suggest the company is attempting to pass on costs to its public sector partners.

BT's commitment to spending £2.5 billion on bringing super-fast broadband to two-thirds of the UK population is evidence that the internet service provider is prepared to dig deep in order to boost connectivity across the UK, he argued.

The spokesman added: "BT is winning competitive BDUK tenders precisely because it is committing extra funds to improve broadband access."

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