The super-deduction rewards companies that invest in new equipment or infrastructure by cutting their tax bill.
Openreach has announced it is accelerating plans to deliver Full Fibre broadband to the UK's hardest to reach communities, creating thousands of jobs, thanks in part to support provided through the super- deduction.
The Chancellor of the Exchequer, Rishi Sunak, visited Openreach's Training Centre in Peterborough today and met some of these new recruits.
Openreach are bringing direct fibre broadband to 25 million UK premises by 2026, while helping to create 7,000 new engineering jobs.
This will include delivering ultrafast, ultra-reliable broadband to more than 6 million premises in the UK's hardest to reach areas. Recruitment by Openreach for 1,000 engineering jobs in 2021 is already underway.
During the visit, the Chancellor received a demonstration on safe working from Openreach apprentices, before touring its "open street" used for training engineers, where he was able to have a go at installing broadband himself.
Chancellor of the Exchequer Rishi Sunak said:
Announcements of new jobs like the 7,000 being created by Openreach show that our Plan for Jobs is working. As we re-open the economy we are providing incentives for businesses to invest and create jobs which is why we introduced the super- deduction - the biggest 2-year business tax cut in modern British history.
It was fantastic to meet some of Openreach's new recruits today and hear how they are rolling out full fibre broadband to millions living in the hardest to reach communities.
With a £100 billion government investment in UK infrastructure this year, I'm confident that more businesses like Openreach will play their part in helping us level up by investing in all corners of the UK.
Openreach CEO, Clive Selley said:
All the research shows that nationwide Full Fibre broadband will deliver economic prosperity, higher employment and a boost to the UK's international competitiveness. It's also massively green.
Having said that, this is a hugely complex, nationwide engineering project - second only to HS2 in terms of investment - and it needs the full force of government and industry to get the job done. That's why we welcome the Government's support - particularly in the form of the super deduction and apprenticeship levy - as it's helping us to build further, faster and create thousands more jobs as we go.
Digital Secretary Oliver Dowden said:
We are levelling up the UK and taking hard-to-reach homes and businesses off buffer mode with a £5 billion investment in lightning-fast, next generation broadband.
I welcome Openreach's ambitious plans to connect millions more rural homes to gigabit speeds. It means our funding can go even further to help those in need and will create thousands more high-skilled engineering jobs as we build back better from the pandemic.
