techUK pushes for 10-year digital infrastructure strategy

Titled Digital Infrastructure 2035 – The backbone of Britain’s future economy, the report highlights the UK’s status as the “largest data centre market in Europe”. It notes that digital tech contributes £286 billion in GVA to the UK economy, and the country ranks 44^th/59^th globally for fixed and mobile connection speeds.

However, techUK also described the UK’s digital infrastructure as being “built on foundations that are starting to crack.” The report warns that 63% of its industrial electricity prices are above the International Energy Agency (IEA) median.

Notably, techUK reports that grid connection waiting times for digital infrastructure projects currently sit at around 8 years.

The report argues that high industrial electricity prices and grid connection wait times are hindering the necessary developments required to keep up with economic demand.

To tackle these rising obstacles, the report calls on the government to issue and publish a 10-Year Digital Infrastructure Strategy by 2027. This strategy should treat connectivity, compute, and data infrastructure as an interdependent system, and be part of a wider set of initiatives suggested by techUK.

Part of the strategy includes designating a Minister of State in the Cabinet Office who would be responsible for implementing it, while supported by a delivery board. TechUK additionally calls for a digital infrastructure unit within the Regulatory Innovation Office to help resolve regulatory issues hampering investment.

This development would also aid another of the association’s requests: an urgent review of the regulatory barriers to identify and resolve them.

TechUK has also requested an update to the UK Compute Roadmap by 2027 that sets transparent milestones for quantum, photonics, and neuromorphic computing. They have also requested a roadmap that details a plan to lower non-domestic prices below the IEA median by 2035.

To that end, techUK has recommended that levies on electricity move to general taxation by 2029.

Setting objectives

TechUK has provided five objectives alongside its report and recommendations, designed to help the UK reinforce its digital infrastructure by 2035.

1. Establish universal full-fibre and 5G Standalone coverage, have commercial 6G underway, and complete the post-quantum security transition across critical systems.
2. To be an international leader in quantum, neuromorphic, and photonic computing, thereby improving its global supply chain position and commercial ecosystem.
3. To bring non-domestic prices under the IEA median, encouraging investment rather than deterring it with high electricity costs.
4. To install a data infrastructure-focused minister in charge of delivering policy and planning that matches the pace of development.
5. Digital adoption across sectors and regions, SMEs in particular, to an almost universal degree.

Sophie Greaves, associate director for digital infrastructure at techUK, explained that the purpose of the roadmap is to position the UK as a leading voice in compute – encouraging beneficial investment into the economy.

She added: “Digital infrastructure is no longer simply an enabler of economic activity, it is the foundation on which future economic growth, innovation and national resilience will be built.”

“The countries that invest now in connectivity, compute and data infrastructure will be best placed to capture the economic opportunities of the next decade.”

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