BT Reinvests $360 Million Government Subsidy in U.K. Broadband
- Money clawed back frees $550 million to connect remote areas
- Culture Secretary Bradley: 600,000 businesses, homes to gain
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The U.K. government is clawing back 292 million pounds ($360 million) in subsidies from BT Group Plc to reinvest in spreading super-fast broadband connections to businesses and homes in remote areas.
Under a contract with the government, BT receives taxpayer funds to support the rollout of super-fast broadband, with speeds of 24 megabits per second or more, but returns some of the subsidy when more customers than expected take up the service. The clawback from BT and savings from efficiencies in the delivery of the program release 442 million pounds to be reinvested in broadband, Culture Secretary Karen Bradley said in an e-mailed statement on Thursday.