Digital connectivity has become an essential service, vital to the country’s economic growth and to people’s quality of life. Businesses, charities and public sector organisations are dependent on digital technology to operate effectively. Individuals rely on digital services to perform day-to-day tasks, access public services and shop online. Future innovations will increasingly rely on digital connectivity , from CAVs  to new applications of virtual reality.

The National Infrastructure Assessment recommended that government should prioritise extending full fibre coverage across the whole country to avoid the UK being left behind – and saving up to £5.5 billion in operating costs over the next 30 years. Our research has found that 86 per cent of people agreed that all parts of the UK should have equal access to broadband.

As well as offering benefits for broadband users, enhanced digital connectivity will also facilitate the development of 5G mobile communications and smart infrastructure, enabling more agile and more efficient management and maintenance.

This study demonstrates how new technologies such as artificial intelligence and machine learning could, in parallel with better data collection and management, help cut delays and disruptions across the UK’s increasingly inter-connected infrastructure networks.

A Digital Framework Task Group, set up in 2018, works across infrastructure sectors to realise the benefits of data. We have actively supported this group and the steps it is taking to develop appropriate data standards and work towards a National Digital Twin.

This study, published in 2016, sets out a series of recommendations to ensure good mobile connectivity is available where we live, work and travel, and that the UK’s road and rail network is made 5G ready. Since then, progress has been made on widening  4G coverage and enabling the early rollout of 5G technologies.

In February 2020, a follow-up review on mobile connectivity on UK roads and railways called for further progress in four areas: government leadership; access to trackside land; overcoming commercial barriers through a competitive process and filling evidence gaps.

Government should introduce a statutory requirement by 2022 for Secretaries of State to publish:

• clear, proportionate and realistic standards every five years for the resilience of energy, water, digital, road and rail services
• an assessment of how existing structures, powers and incentives enable operators to deliver these standards or where changes are needed.

Regulators should introduce obligations on infrastructure operators to meet these resilience standards by 2023.

Regulators should require a system of regular stress testing by 2024 for energy, water, digital, road and rail infrastructure operators, to ensure that infrastructure operators’ systems and decision-making can credibly meet resilience standards for infrastructure services.
Regulators should introduce obligations by 2023 on infrastructure operators to require them to participate in stress tests and to require remedial action in case of failure of stress tests.

Energy, water, digital, road and rail infrastructure operators should develop and maintain strategies to ensure infrastructure services can continue to meet resilience standards in the long term. To ensure this, regulators should:

• introduce obligations by 2023 on infrastructure operators to require them to develop and maintain long term resilience strategies (where there is no current requirement)
• set out, in future price reviews, how their determinations are consistent with meeting standards of resilience in both the short and long term.

The Commission recommends that government should set out a nationwide full fibre connectivity plan by spring 2019, including proposals for connecting rural and remote communities. This should ensure that full fibre connectivity is available to 15 million homes and businesses by 2025, 25 million by 2030 with full coverage by 2033. To achieve these targets:

• Ofcom should promote network competition to drive the commercial rollout of full fibre, by deregulating where competition is effective and guaranteeing a fair bet on risky investments before regulating any uncompetitive areas.
• Government should part subsidise rollout to rural and remote communities, beginning by 2020, starting with the hardest to reach areas and community self-build.
• Government and Ofcom should allow for copper switch-off by 2025.
• Government and Ofcom should take action to cut the cost of full fibre deployment including:
  • Government should ensure the processes for obtaining wayleaves and connecting new builds are the same for digital infrastructure as other utilities by 2019.
  • Local government should designate ‘digital champions’ to improve telecoms processes such as street work permissions and access to publicly owned assets.
  • Ofcom should monitor the accessibility of Openreach’s duct and pole infrastructure by levels of usage.

The Commission recommends that government should set out a pipeline of pot 1 Contracts for Difference auctions, to deliver at least 50 per cent renewable generation by 2030, as part of the transition to a highly renewable generation mix. Government should:

• Move technologies that have recently become cost competitive, such as offshore wind, to pot 1 following the next Contracts for Difference auction in Spring 2019. Pot 1 should be used for the overwhelming majority of the increase in renewable capacity required.
• Publish indicative auction dates and budgets for the next decade by 2020.
• Over time take whole systems costs into account in Contracts for Difference auctions, as far as possible.
• Consider whether there is a case for a small-scale, pot 2 auction in the 2020s, if there are technologies which are serious contenders for future pot 1 auctions.
• Not agree support for more than one nuclear power station beyond Hinkley Point C, before 2025.

The Commission recommends that government needs to make progress towards zero carbon heat:

• Establishing the safety case for using hydrogen as a replacement for natural gas, followed by trialling hydrogen at community scale by 2021.
• Subject to the success of community trials, launching a trial to supply hydrogen to at least 10,000 homes by 2023, including hydrogen production with carbon capture and storage.
• By 2021, government should establish an up to date evidence base on the performance of heat pumps within the UK building stock and the scope for future reductions in the cost of installation.
• Set a target for the rate of installations of energy efficiency measures in the building stock of 21,000 measures a week by 2020, maintained at this level until a decision on future heat infrastructure is taken. Policies to deliver this should include:
  • Allocating £3.8 billion between now and 2030 to deliver energy efficiency improvements in social housing.
  • Government continuing to trial innovative approaches for driving energy efficiency within the owner occupier market.
  • Government setting out, by the end of 2018, how regulations in the private rented sector will be tightened and enforced over time.

The Commission recommends that government should set a target for recycling 65 per cent of municipal waste and 75 per cent of plastic packaging by 2030. Government should set individual targets for all local authorities and provide financial support for transitional costs. The government should establish:

• Separate food waste collection for households and businesses (to enable production of biogas) by 2025.
• Clear two symbol labelling (recyclable or not recyclable) across the UK by 2022.
• A consistent national standard of recycling for households and businesses by 2025.
• Restrictions on the use of hard-to-recycle plastic packaging (PVC and polystyrene) by 2025.
• Incentives to reduce packaging and for product design that is more easily recyclable by 2022.
• A common data reporting framework for businesses handling commercial and industrial waste by the end of 2019, ideally through voluntary reporting but if necessary by legislation.

The Commission recommends that government, Ofgem and local authorities should enable the roll out of charging infrastructure sufficient to allow consumer demand to reach close to 100 per cent electric new car and van sales by 2030. Government should address the implications of technological innovation in long term transport planning processes, including the next rail control period and road investment strategy.

• Ofgem should take on the role of regulating the interaction between electric vehicle charge points and the electricity network immediately, ensuring that electric vehicle charging and vehicle to grid services contribute to the optimisation of the energy system. Government, industry and Ofgem should work together to set minimum standards for a network of interoperable, smart charge points.
• Ofgem should commission electricity network operators to work with charge point providers to identify potential anticipatory investments required to accommodate public charging infrastructure. Opportunities for investment within the current price control period should be identified by Summer 2019.
• Government should place a requirement on local authorities to work with charge point providers to allocate 5 per cent of their parking spaces (including on-street) by 2020 and 20 per cent by 2025 which may be converted to electric vehicle charge points.
• Government should subsidise, by 2022, the provision of rapid charge points in rural and remote areas, where the market will not deliver in the short term.
• Government should establish a centre for advanced transport technology in the Department for Transport to bring together work on technological innovation and ensure its implications are central to future investment proposals. This should include developing and overseeing the Commission’s proposed connected and autonomous vehicles framework.

The Commission recommends that government should make £500 million a year of funding available from 2025/26 to 2034/35 for local highways authorities to address the local road maintenance backlog.

The Commission recommends that cities should have the powers and funding they need to pursue ambitious, integrated strategies for transport, employment and housing.

• By 2021, metro mayors and city leaders should develop and implement long term integrated strategies for transport, employment and housing that will support growth in their cities.
• By 2021, government should ensure city leaders have the right powers to deliver these integrated strategies, including the power for metro mayors to make decisions on major housing development sites.
• Government should set out devolved infrastructure budgets for individual cities for locally determined urban transport priorities in line with the funding profile set out by the Commission. Budgets for 2021-2026 should be confirmed by mid 2019. Government should pass legislation, by 2020, requiring cities to be given regular five year infrastructure budgets.
• Government should allocate significant long term funding for major capacity upgrades in selected growth priority cities, in line with the funding profile set out by the Commission. Cities benefiting from major projects should make commitments on housing delivery and provide at least 25 per cent of funding. Priority cities should be identified by mid 2019, with long term investment commitments agreed by 2020. Future rounds should take place no more than twice a parliament.

The Commission recommends that government should set out a strategy to deliver a nationwide standard of resilience to flooding with an annual likelihood of 0.5 per cent by 2050 where this is feasible. A higher standard of 0.1 per cent should be provided for densely populated areas where the costs per household are lower. To deliver the strategy:

• By the end of 2019, government should put in place a rolling 6 year funding programme in line with the funding profile set out by the Commission. This should enable efficient planning and delivery of projects and address the risks from all sources of flooding.
• The Environment Agency should update plans for all catchments and coastal cells in England before the end of 2023. These should identify how risk can be managed most effectively using a combination of measures including green and grey infrastructure, spatial planning and property level measures.
• Water companies and local authorities should work together to publish joint plans to manage surface water flood risk by 2022.
• The Ministry of Housing, Communities and Local Government and planning authorities should ensure that from 2019 all new development is resilient to flooding with an annual likelihood of 0.5 per cent for its lifetime and does not increase risk elsewhere.

The Commission recommends that government should ensure that plans are in place to deliver additional supply and demand reduction of at least 4,000 Ml/day. Action to deliver this twin-track approach should start immediately:

• Ofwat should launch a competitive process by the end of 2019, complementing the Price Review, so that at least 1,300 Ml/day is provided through (i) a national water network and (ii) additional supply infrastructure by the 2030s.
• The Department for Environment, Food and Rural Affairs should set an objective for the water industry to halve leakage by 2050, with Ofwat agreeing 5 year commitments for each company (as part of the regulatory cycle) and reporting on progress.
• The Department for Environment, Food and Rural Affairs should enable companies to implement compulsory metering by the 2030s beyond water stressed areas, by amending regulations before the end of 2019 and requiring all companies to consider systematic roll out of smart meters as a first step in a concerted campaign to improve water efficiency.

The Commission recommends that government should publish good quality data on infrastructure costs and performance. All public bodies taking decisions on strategic economic infrastructure should publish the forecast costs and benefits of their major infrastructure projects at each appraisal stage and at a suitable point after completion, by the end of 2019. The Infrastructure and Projects Authority should work with departments to ensure that costs are comparable between sectors.

The Commission recommends that design should be embedded into the culture of infrastructure planning, to save money, reduce risk, add value, support environmental net gain and create a legacy that looks good and works well, by:

• Government ensuring that all Nationally Significant Infrastructure Projects, including those authorised through hybrid parliamentary bills, have a board level design champion and use a design panel to maximise the value provided by the infrastructure.
• Design panels for nationally significant infrastructure projects having regard to design principles to be published by the National Infrastructure Commission based on advice received from the national infrastructure design group.

The Commission recommends that government should deliver long term certainty over infrastructure funding by adopting the funding profile set out in the ‘fiscal remit’ table in Spending Review 2019 and other future spending plans.

The Commission recommends that government should maintain access to the European Investment Bank if possible. If access is lost, a new, operationally independent, UK infrastructure finance institution should be established by 2021. To enable this, government should consult on a proposed design of the new institution by Spring 2019. The consultation should cover:

• Functions, including provision of finance to economic infrastructure projects in cases of market and coordination failures; catalysing innovation; and acting as a centre of excellence on infrastructure project development, procurement and delivery.
• A clear mandate, including sound banking, additionality and having a wider economic and social impact.
• Governance to safeguard the operational independence of the institution.

The Commission recommends that local authorities should be given further powers to capture a fair proportion of increases in the value of land from planning and infrastructure provision. To enable this, government should:

• Remove pooling restrictions on Section 106 in all circumstances, through forthcoming secondary legislation by 2020.
• Remove the ballot requirement for upper tier authorities’ powers to levy a business rate supplement of 2p or less in the pound for infrastructure, except where the supplement exceeds one third of scheme costs by 2021.
• Give local authorities powers to levy zonal precepts on council tax, where public investments in infrastructure drive up surrounding property values by 2021.
• Provide greater certainty in compulsory purchase compensation negotiations by including independent valuations early in the process to be paid for by the acquiring authority by 2021.

The Government should task the Centre for Digital Built Britain (CDBB) with the establishment of a digital framework for infrastructure data, drawing together key organisations and existing initiatives both large scale (BIM) and smaller scale:

• a. A Digital Framework Task Group for infrastructure data should be established with a high profile chair who can act as a national champion for this agenda.
• b. CDBB should set out a roadmap to a digital framework to develop standards and formats for collating and sharing data.
• c. Key organisations which should be involved in the Task Group and in developing the framework include the Alan Turing Institute, Infrastructure Client Group, Construction Leadership Council, Infrastructure and Projects Authority, Cambridge Centre for Smart Infrastructure and Construction, Project 13, Office for National Statistics, Ordnance Survey, Open Data Institute and the recently announced Geospatial Commission and Centre for Data Ethics and Innovation. Wider consultation input should also be sought from the digital twin working group referenced in section 5.
• d. On standards development, in order to understand the existing standards landscape thoroughly at both a national and supranational level and to ensure agility, CDBB should consult extensively with industry on current behaviours and future requirements for how different infrastructure sectors and sub-sectors use data. CDBB may wish to commission an external standards organisation to conduct some of this work on their behalf.
• e. IPA and ICG should be engaged closely when designing final data standards and performance measures. The ICG amongst others will also be important to consult with respect to appropriate safeguards for commercial confidentiality.
• f. There should also be close collaboration with CPNI and NCSC on security requirements and levels of access and to develop standards for security, consistent with the objectives of the framework and an agreed approach to risk management.
• g. In order to support effective implementation, CDBB should also lead a scoping exercise for a framework to assess industry progress in adopting and using the framework and to measure innovation.
• h. CDBB should complete these actions and provide a public report on progress by 1 September 2018, setting out their recommendations for next steps. The National Infrastructure Commission would assess this as part of its wider role in monitoring progress against its recommendations.

The Infrastructure Client Group (ICG) and the Digital Framework Task Group Chair should lead industry engagement in the framework and cultivate a shift towards minimum levels of commercial confidentiality.

• a. ICG should report to CDBB on current industry compliance with minimum levels of commercial confidentiality agreed with CDBB in recommendation 1.
• b. ICG should work collaboratively with industry and the Digital Framework Task Group to identify opportunities to make data available and reduce the unnecessary use of commercial confidentiality (e.g. through reviewing and revising existing digital contracts), and should set out an agreed plan with milestones towards achieving the proposed shift.
• c. ICG should report on progress in reducing the application of commercial confidentiality to infrastructure data by December 2018.

The Digital Framework Task Group (see recommendation 1) should work with the UK Regulators Network and relevant Government departments to review and, where possible, strengthen the role of economic regulators in driving up the quality and openness of infrastructure data. This should include:

• a. Participation by the UK Regulators Network in the formulation of the digital framework set up by CDBB to ensure that it is effectively aligned with regulatory work on innovation and data.
• b. Assessment of the potential role of regulators and of possible barriers within current regulatory frameworks regarding: ensuring compliance by regulated network operators and utilities with the national framework and adherence to data collection standards and formats; sharing of data to inform better understanding of asset performance and user experience; sharing of data across infrastructure sectors and the value chain to enable greater innovation in the development of new technologies and data management focused on better asset management and increased productivity.
• c. Support for CDBB’s engagement with network operators and utilities around the provision of data of verified quality to input to the development of a national infrastructure digital twin over the long term.
• d. Identification of relevant areas for further trials or studies to enable regulators, and regulated industries, to understand and demonstrate how monitoring technologies and data can support cost-effective maintenance decisions and proactive asset management, working with relevant research organisations.

CDBB should collaborate with the Alan Turing Institute (ATI) and the UK Infrastructure Transitions Research Consortium (ITRC) in pioneering digital twin models with predictive capability in the UK. This initiative should draw upon the AI expertise concentrated in the UK across universities and the public and private sectors.

• a. CDBB should work with BEIS and other potential funders to take forward a digital twin pilot project to explore and experiment with the benefits of building a digital twin of a specific geographical area. CDBB, ATI and ITRC should draw upon input from the digital twin working group identified in section 5.
• b. A project review of the pilot digital twin should be completed by October 2018. This should consider the lessons learnt for any future development of larger-scale or more complex digital twins, and the most effective institutional structures to support continuing progress in this area.

Digital infrastructure lies at the heart of the UK’s industrial strategy and affects every sector of the economy. To reflect its importance, ultimate government responsibility for digital infrastructure should reside in one place under a single cabinet minister with the authority to shape policy and delivery across government, ensuring that it delivers the government’s overarching digital strategy. This work should report to the Economy and Industrial Strategy Cabinet Committee. It should:

• Identify the public projects that contain a significant element of digital infrastructure and establish and maintain a plan which sets out how they can help deliver the government’s overarching digital strategy and maximise the benefit of better mobile telecommunications for UK citizens and businesses.
• Hold the various parts of government that are delivering digital infrastructure to account, in order to ensure adequate telecoms network provision in the delivery of its infrastructure programmes.
• Ensure that when upgrading existing or delivering new infrastructure, such as that alongside our roads and railways, the long term capacity needs of telecoms networks are considered and met. This could include installing more fibre and additional infrastructure to make sure that networks are future-proof. It will also mean ensuring that the networks are readily accessible to communications providers.
• Be a centre of telecoms expertise within government that supports departments in determining their needs and procuring telecoms infrastructure, and support departments in demonstrating and testing of new, digitally-enabled ways of delivering public services such as education and healthcare.
• Support and challenge local government in their plans to enable the delivery of digital infrastructure; both in terms of ensuring that these plans help the UK to meet its national objectives, and that local authorities develop consistent approaches to support the deployment of mobile infrastructure across the country.

• Our motorways must have mobile telecommunication networks fit for the future. It is vital that our motorways are able to meet both the long term operational needs of connected vehicles and the connectivity needs of the passengers. This will necessitate the timely installation of an open and accessible mobile telecommunication and backhaul network that is fit for the future.
• The government should set out its plans for how to deliver this by the end of 2017. As part of this work consideration should be given to who is best placed to install, manage, fund and own the network, noting the potential for private sector funding.
• Ensuring that best use is made of the existing infrastructure, such as masts, poles, ducts power supplies and the fibre network alongside our motorways, so that it can be used to support the backhaul of mobile data will be essential.
• Ultimately, the government should ensure that the necessary infrastructure is in place on motorways by 2025 at the latest if it wants to offer a reasonable level of connectivity on a timescale consistent with the deployment of 5G networks.
• Ofcom should set out how a regulatory regime would support these different operating models.

• Rail passengers should have high capacity wireless connectivity. This should be achieved through a delivery model that utilises trackside infrastructure to provide an open and accessible mobile telecommunication and backhaul network that is fit for the future.
• The government should set out its plans for how to deliver this by the end of 2017. As part of this work consideration should be given to who is best placed to install, manage, fund and own the network, noting the potential for private sector funding.
• Ensuring that best use is made of the existing infrastructure, such as masts, poles, ducts power supplies and the fibre network alongside our railways so that it can be used to support the backhaul of mobile data will be essential. Ultimately, the government should ensure that the necessary infrastructure is in place on the main rail and key commuter routes by 2025 at the latest if it wants to offer a reasonable level of connectivity on a timescale consistent with the deployment of 5G networks.
• Ofcom should set out how a regulatory regime would support these different operating models.

Local government should actively facilitate the deployment of mobile telecoms infrastructure:

• a) Local authorities should work together and with Local Enterprise Partnerships (LEPs) to develop coordinated local mobile connectivity delivery plans. These plans should:
  • set out how local authorities and LEPs will enable the deployment of mobile networks and maximise the opportunities and benefits to residents and businesses;
  • be developed in discussion with mobile network operators and infrastructure owners; l identify a designated individual with lead responsibility for engaging with mobile telecoms infrastructure providers;
  • consider the role of local government assets and infrastructure, (e.g. land, buildings, roads, street furniture) and help coordinate the role that other public buildings in an area (e.g. hospitals and universities) can play to facilitate the deployment of mobile telecoms infrastructure; and
  • consider how the deployment of digital infrastructure can be established as a priority in local planning policy.
• Local authorities and LEPs should report annually to the government department with responsibility for digital infrastructure on their progress delivering against these plans.
• b) Local models for facilitating the deployment of these networks should be piloted and evaluated to inform national roll-out. Any pilot programme should allow for the evaluation of deployment models in different types of area (e.g. urban, rural, coastal) and in both single-tier and two-tier local government areas. It should also seek to establish how high quality design can minimise the impact of hosted infrastructure on the built environment. Such pilots would be a good use of a proportion of the funding recently announced in the Autumn Statement to support mobile telecoms infrastructure.

• Government and Ofcom should develop a meaningful set of metrics that represent the coverage people actually receive and use these to determine a mobile universal service obligation setting out the minimum service level people should expect to receive.
  • a) Ofcom, government and mobile operators should report their coverage so that they are genuine and meaningful reflections of the services enjoyed by customers. Metrics should be measurable and based on the reality of service and coverage provided to customers, not based on simulated or predicted performance. Ofcom should set out how this is best achieved by the end of 2017.
• Ofcom and government should use these metrics as the basis of future interventions such as spectrum licence obligations or voluntary agreements with operators.
• Government, Ofcom or the Advertising Standards Authority should take action if operators advertise or report coverage in a way that does not reflect services being delivered to consumers on an everyday basis.
  • b) Mobile services are increasingly viewed as essential, underpinning our daily lives and the digital economy. Government must deliver a view by the end of 2017 on what aspects of mobile services are considered “essential”. It should then establish how this “essential” level of service provision can be made available through a mobile universal service obligation regardless of the network to which a customer is subscribed. Government should engage with Ofcom and industry to establish the best delivery mechanism, whether through spectrum licence obligations, enabling roaming, enabling cross operator Mobile Virtual Network Operators (MVNOs), through government procurement or a mix thereof.
• Government with the assistance of Ofcom should deliver this as soon as is practical but no later than 2025.

• By the end of 2017 Ofcom and government must review the existing regulatory regime to ensure that it supports the sharing of telecoms infrastructure. This will be particularly important for areas of the country where competition driven markets have struggled to provide the necessary mobile infrastructure.

• Ofcom and government must ensure they keep pace with the rapid evolution of the mobile communications market, and that the regulatory regime is fit for purpose. By the end of 2017 Ofcom and government must review the regulatory regime to ensure that spectrum allocation and regulatory decisions support a growth model in a world where technology developments enable greater shared access and interoperability. Government and Ofcom should review how unlicensed, lightly licensed spectrum, spectrum sharing and similar approaches can be utilised for higher frequencies to maximise access to the radio spectrum. Spectrum decisions should where possible enable:
  • Community or small provider solutions to meet the needs of local areas if they remain unserved or poorly served.
  • Niche entrants or sub-national players to access the higher frequency spectrum anticipated for 5G. Allocation of nationwide spectrum licenses to a small number of operators could leave large areas of the UK fallow.
  • Businesses, universities and others to access spectrum where they need to within their factories or buildings, including already licensed spectrum if there are no interference risks. This will unlock multiple wireless service provider options, including self-provision, spurring the innovation in industrial internet of things, wireless automation and robotics.