Government to prepare auction of radio spectrum to assist mobile broadband

Radio spectrum could soon be auctioned by the government to help increase the reach of mobilebroadband networks and allow more people to access the internet.

The move could be the best way to provide connections to the 20 per cent of the population that remains offline, while also catering for the popularity of smartphones that provide remote services.

Rules regulating the future auctions will be established by communications minister Stephen Timms and government spectrum advisor Kip Meek.

Ed Richards, chief executive of broadband regulator Ofcom, said: "Radio spectrum is an essential but finite resource. Its use accounts for nearly one pound in every 30 in the UK economy and it delivers a plethora of services to UK citizens and consumers."

Using radio spectrum could enable more people in rural communities to access faster broadband speeds and use VoIP hardware more efficiently.

Satellite technology is also being considered for regions where laying fibre optic cabling is prohibitively expensive, but this is also currently a costly option.