Although digital connectivity is now critical to our day-to-day lives, too many communities across Wales face high levels of digital exclusion, and Wales has the highest rate of non-internet usage in the UK. Against its target for the Superfast Cymru project to reach 96 per cent of properties existing in 2011, the Welsh Government has extended the completion of the build phase to June 2017, following an open market review that showed that the number of premises needing to be addressed under the project had increased. When I questioned the Minister for Skills and Science regarding this in the Economy, Infrastructure and Skills Committee, she stated the Welsh Government was

‘only allowed to intervene in the market where no commercial operators said they would go.’

She cited, for example, no Superfast Cymru in central Wrexham, Swansea and Cardiff accordingly. She said that

‘if you look at a map of Superfast Cymru, it excludes all of the areas where the commercial company said that they would roll out.’

But when they conducted another open market review, after concerns were raised with her by many Members, including myself, this showed that the commercial operators have revised their plans and would not be rolling out into those industrial areas. She added that, in consequence, 42,000 premises had been added to the original target and the deadline extended by a year.

FibreSpeed in north Wales was developed as a public-private partnership after winning a competitive tender from the Welsh Government to provide high-speed broadband services across north Wales industrial estates, business parks and other locations to increase economic growth. The Welsh Government made a significant investment in this, understood to run into many millions. Questioning the then Deputy Minister for Skills and Technology here in June 2014, I referenced a letter sent to Members by FibreSpeed expressing concern that the FibreSpeed investment had been overbuilt by Superfast Cymru and that they were seeking guidance from the EU Commission on potential breach of EU state aid rules. In an October 2014 letter to Members, the Deputy Minister for Skills and Technology, who is also the current Minister for Skills and Science, responded to my question, stating that through discussions with FibreSpeed Ltd, and via a prior legal technical exercise undertaken by the Welsh Government, the 2014 open-market review had determined that the 793 postcodes serving business-only premises would now be included in the scope of the new Superfast Cymru infill project on the basis that FibreSpeed does not intend to provide broadband connectivity to business premises in the future and its pricing is deemed unaffordable. So, Minister, the Welsh Government has some serious questions to answer. How many millions of thousand pounds were wasted on a Welsh Government project resulting from a Welsh Government tender? What went wrong and why were FibreSpeed placed in this position?

Responding to me in committee, you also stated that the Welsh Government had just specified a percentage and number in its Superfast Cymru contract and that it’s entirely up to the deliverer, BT, to get to the premises number. However, we also understand that BT missed out many thousands of users by classifying premises such as student halls of residence and holiday parks as single addresses. In north Wales, I’ve attended two meetings with the British Holiday and Home Parks Association’s Clwyd branch and BT Wales’s next-generation access manager to address the provision of broadband in rural Wales, which continues to affect park businesses and their ability to meet the demands of customers—the visitors on whom the north Wales tourist economy depends, echoing the comments made by my colleague Janet Finch-Saunders. The BT programme manager has proved an invaluable contact for them, providing information on current and future provision, including the Welsh Government scheme to help businesses such as these to access fibre on demand. However, park businesses have told me that the problem is finding someone to sell the product. BT Local Business denied all knowledge of the Welsh Government fibre-on-demand scheme, and when they finally tracked down a company prepared to sell this, it was in England. As they stated, it gripes them to go to an English company to buy a Welsh project that is financially supported by the Welsh Government. They added that, for one thing, retail price put it out of the reach of many businesses in Wales.

Against England’s 95 per cent target, the UK Government published the findings of its £10 million innovation fund pilot for the final 5 per cent most remote communities in England in February. So, finally, Minister, when and how will the Welsh Government take action to reach the final 4 per cent of premises here, and not just the first 96 per cent? Thank you.