A new consultation between the government and the public has been initiated in order to find out just what it is that the average citizen wants from their internet connection over the next decade.

There is a one billion pound fund available to help kick start developments and improvements and the debate is certain to centre on the question as to whether high speed broadband should be provided to suburban dwellers first, or whether universal availability of basic broadband is a more pressing issue.

The problems facing the telecoms industry are those of market demand versus profitability. In densely populated areas there is a high likelihood of fibre optic broadband and LTE Mobile Broadband becoming available without government intervention, but rural areas are less attractive because of the high costs of setup compounded by the relatively sparse customer numbers.

Whatever decisions are made over the next few years, the economic impact of broadband technology is going to be significant. The London School of Economics predicts that if public and private sectors invest five billion pounds in the development of next-generation broadband networks, over a quarter of a million new jobs would be created and businesses of all sizes would benefit.

Over the next few years, BT broadband deals are expected to be able to offer fibre optic cable connections to between 50 and 70 per cent of the population and the government has targeted 2017 as the year in which next-gen coverage must reach 90 per cent in order for the work to be deemed a success.

Business secretary Lord Mandelson pointed out that Virgin Media was already offering half the country the chance of connecting at 50Mbps, but that the new consultation, the large public fund at the government’s disposal and higher speed BT broadband deals would help to significantly improve broadband internet coverage.