HC Deb 18 July 1997 vol 298 cc370-1W
Mr. Redwood

To ask the President of the Board of Trade (1) if he has reviewed the competition policy consequences of the Government agreement with BT to provide free Internet services to each school; and if he will make a statement; [8916]

(2) when every school will have access to the free Internet service for all schools which the Government are planning; [8918]

(3) when Oftel will announce its findings concerning the Government's agreement with BT to provide free Internet services to each school in return for permitting BT earlier access to the broadcast market. [8919]

Mrs. Roche

The Government welcomes BT's proposal of a special deal for schools, and the offers which the Cable companies have brought forward. These initiatives, which aim to offer schools access to advanced on-line services at affordable and predictable rates, will be of key importance in fulfilling the Government's commitment to wire up schools to the Information Superhighway free of charge, and to make access charges as low as possible.

There are issues relating to BT's proposal which require Oftel to consult others in the industry, in line with its regulatory duties. We are pleased that Oftel has now published its consultation document, proposing options specifically designed to encourage participation by all telecommunication companies, and competition between different telecommunications companies and Internet service providers. This illustrates the way forward, with all operators working in partnership. Oftel will work towards a final conclusion in September.

It is of course up to individual schools to decide whether or not to take up the cable industry's offer, or BT's proposal when it is available, and it is therefore not possible to indicate when every school will connect to the Internet. The Government will publish in the Autumn a consultation paper on the National Grid for Learning which will address key issues including network links, ICT infrastructure, software, services, teacher training and technical support.

The Government is, in line with its manifesto commitments, separately considering the way forward on questions relating to the regulatory restrictions on BT and other Public Telecoms operators. Oftel is involved in that process. The issues involved are complicated—relating not just to competition in telecoms but also to wider broadcasting issues—and must be considered carefully. The Government would expect to publish proposals on the way forward in the Autumn.