Mobile broadband best for rural Britain?

Rural areas with limited broadband could get cheaper deals using mobile access when the 800 MHz spectrum becomes available as part of the switch to digital television from analogue, one industry boss has claimed.

O2 chief executive Ronan Dunne told the Scotsman the signal will be ideal for homes and businesses in the countryside, as the coverage of the lower frequency is wider meaning it can penetrate buildings more effectively.

"One mobile cell site can cover a one kilometre area and for many places that would be all that's needed," he commented.

Companies will be able to bid for the frequency in 2012 before they come into use in 2014.

High-speed 3G mobile signals reach about 80 per cent of the population at present, but Mr Dunne said this could rise to 95 per cent in four years' time.

The government recently announced it plans to provide high-speed broadband access to all areas of the country by 2015.