The UK’s independent network operators saw a significant increase in their market share over the last year, with almost three-quarters of a million people switching to altnets in 2024 according to the latest industry figures.

A study carried out by broadband market research firm Point Topic and the Independent Networks Cooperative Association (INCA) found a 35% year-on-year growth for altnets across Britain, now reaching over a third of UK premises, around 15.2 million properties – a 27% network increase.

The INCA’s report, UK Altnets: Delivering Affordable, High-Speed Connectivity with Unmatched Customer Satisfaction, alternative network providers now cover over three million premises in Ofcom’s Area 3 – typically harder-to-reach areas with low broadband competition – providing full fibre access to nearly a third of the UK’s most rural premises.

In Scotland, the data shows altnets reached more than 400,000 premises by the end of last year, with Area 3 coverage increasing by 10% and overall coverage by 6%.

However, Scotland’s altnet coverage pales in comparison to Northern Ireland’s, leading the way with altnet deployments now reaching 72% of Area 3 premises and 40% of the region’s premises as a whole.

By the end of 2025, the study estimated that altnets would grow to cover more than 18 million premises and over three million new connections. 

The surge in alternative network coverage is being powered by investment flowing into the sector, although the report notes this has recently been at a more reserved pace, with an estimated £574 million in additional funding being announced through 2024.

Including additional private investment capital, the INCA reported that altnet providers had committed £5.3 billion to network expansions and operations over the 2024/2025 financial year, however the study notes investors are generally taking a more cautious approach in the face of challenging macroeconomic conditions and political headwinds.

There are also questions over the sustainability of the current altnet market, with more than one hundred smaller suppliers competing against major players. This is increasing the threat of overbuild despite consolidation slowly taking place, such as CityFibre’s integration of Lit Fibre’s network and the merger of FullFibre and Zzoomm announced in January 2025, which will result in 600,000 ready-to-serve properties. 

Altnet providers have also seen bigger contracts, with the UK Government’s Project Gigabit programme having awarded thirty-five procurement contracts to ten altnet operators worth £1.3 billion to cover around 940,000 premises over the next several years, including a £26 million project for South Scotland awarded to Borderlink (GoFibre) in February.

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Despite these successes, the INCA report notes several industry concerns moving forward. For the second year running, access to finance was the leading anxiety among altnet operators, many of whom are feeling the pressures of rising interest rates and inflation, making it more difficult to secure capital to scale, or even maintain current operations.

Ofcom’s upcoming Telecoms Access Review (TAR26) has also piqued concerns, with 70% of altnet providers polled by INCA highlighting potential risks from the review’s outcome, arguing this might weaken competitive protections and embolden bigger operators with entrenched advantages.

“The UK’s digital future will be won or lost in the next regulatory cycle. INCA is fighting to guarantee the altnets and their investors get a fair bet,” said Paddy Paddison, INCA CEO.

“We call on the policymakers, the regulators and the investors to recognise the transformative impact of altnets and to provide a regulatory framework that empowers them.”