Edinburgh firm secures £105m to transform connectivity for thousands in remote areas

An Edinburgh-based tech firm will receive over £100m from the UK Government to bridge the connectivity divide across north east Scotland.

GoFibre will deliver the latest phase of the government’s landmark Project Gigabit - set up to connect hard-to-reach areas to lightning-fast gigabit-capable broadband.

The £105m contract will boost connectivity for around 60,000 premises, spanning from Cullen in Aberdeenshire to Castle Stewart near Inverness Airport.

The first connections are due to be delivered by summer 2026.

Business minister Richard Lochhead said:  “Fast, reliable broadband is a fundamental building block for Scotland’s economy – and for our society. It’s why we are committed to ensuring connections across the country meet the needs of people and businesses, delivering faster connections to more than a million premises over the last decade.

“Project Gigabit will build on and complement the transformational work already being delivered through the Scottish Government’s Reaching 100% (R100) programme and I look forward to working with the UK Government, as broadband remains a reserved matter, to ensure we deliver more gigabit-capable connections to rural communities.”   

The connectivity divide has been a pressing issue north of the border, with constituencies such as Orkney and Shetland ranking amongst the worst-connected areas in the UK. 

Launched in 2021 “to connect every corner of the UK”, Project Gigabit targets premises that are not covered by broadband suppliers' commercial plans, and areas which fall outside the Scottish Government's R100 contract and commercial activity.   

UK telecoms minister Chris Bryant said: “Our investment in north east Scotland will overhaul broadband networks in hard-to-reach areas with slower internet speeds, putting an end to annoying buffering, and creating exciting new opportunities for local businesses and communities.

“Now the contract is signed, work can begin to deliver internet upgrades that many towns and villages sorely need. It shows how the Prime Minister's Plan for Change is delivering for people across Scotland, helping to drive economic growth and tear down the UK's digital divide.” 

It marks the second contract awarded to the Edinburgh firm, after it secured a prior £25m  contract to connect around 11,000 premises in the Scottish Borders and East Lothian.

Earlier this year, Openreach also won a £157m contract to bridge the connectivity divide across 65,000 premises in the Highlands and Outer Hebrides. 

GoFibre chief executive Neil Conaghan said: “This Project Gigabit contract award is a hugely exciting development for the north east of Scotland, and for GoFibre, transforming broadband connectivity across a substantial region of Scotland.

“As a fast-growing Scottish independent broadband company, GoFibre is committed to improving connectivity in rural and hard-to-reach areas and we cannot wait to get started on this major infrastructure project. Building on the back of our Project Gigabit contract award for the Borders and East Lothian earlier this year, it shows GoFibre is at the heart of rural broadband development in Scotland.”