RURAL Scottish businesses will see a connectivity boost thanks to a £1 billion Government deal with the mobile phone industry to banish rural not-spots.

The move will bring 4G coverage to 95% of the UK by 2025. More people and businesses in rural areas will benefit from the speed and efficiency of services on the go.

This would be a world-first deal with EE, O2, Three and Vodafone investing in a network of new and existing phone masts, which they would all share. Consumers will be able to rely on their own provider’s network to use their mobile phones wherever they are. The deal would see all four operators come together to create a new organisation to deliver the shared rural network.

Under the proposal, the four operators will invest £530 million to share existing masts and infrastructure to close almost all partial not-spots – areas where there is currently only coverage from at least one but not all operators. It would also mean additional mobile coverage for 280,000 premises and 16,000 kilometres of roads.

UK Government Minister Robin Walker said: “Connectivity is vital to a strong economy and everyone should have access to this regardless of where they live and work.

“The UK Government is working with the mobile network providers to extend the access of high-quality 4G coverage.

“In Scotland, coverage is predicted to more than double from 41% to 85% by 2025 as a result of the deal negotiated by the UK Government. It will ensure that people and businesses across Scotland can utilise the best quality connectivity, regardless of location or provider.”

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Responding to the announcement, FSB national chairman Mike Cherry said: “Small firms are still being blighted on a daily basis with poor mobile phone signal, which can be hugely problematic – particularly in rural areas.

“Our research shows that more than half (57%) of small businesses in rural areas in the UK say they receive unreliable connection on their mobile phones. Along with poor broadband, this is crushing the growth and productivity of small business owners, with more than one in three (32%) saying it prevents them from contacting or being contacted by existing customers – or even potential new clients.”