Four out of five councils across the UK say digital connectivity is now a top local priority, with a strong shift toward digital inclusion and an emphasis on practical issues affecting residents, including reliable 4G, digital skills, affordability and device access.

However, there remains a limited understanding of the economic benefits of these measures.

That’s according to the UK Local Government Connectivity Survey 2026 from FarrPoint, which surveyed councils from Scotland, England, and Wales.

The report also reveals that councils are calling for clearer national coordination and earlier engagement from network operators, saying better data and more open communication would help them accelerate rollout and tackle persistent coverage and resilience issues.

Depsite connectivity being a top priority, 15% report a lack of understanding when it comes to the scale of connectivity issues.

Only 5% thought that their region was connected enough, with little remaining to do. None of the respondents, however, thought the rollout of digital infrastructure was fully complete.

This reveals glaring gaps in councils’ understanding of their own connectivity capabilities, with confusion over what needs to be invested and the scale of the issue.

The report also reveals that councils are calling for clearer national coordination and earlier engagement from network operators, saying better data and more open communication would help them accelerate rollout and tackle persistent coverage and resilience issues.

“What’s striking this year is that councils are increasingly moving towards inclusion and day‑to‑day reliability. The conversation is shifting from infrastructure to determining whether people can participate in modern life,” Dr Andrew Muir, CEO of Farrpoint said.

“Connectivity is still a strategic enabler of economic growth, public service reform and regional resilience, but councils say they need clearer signals and stronger partnership from industry and central government if they’re to turn ambition into delivery.”

Gigabit and other priorities

For the fourth year in a row, gigabit broadband has topped local digital priorities, with every council surveyed reporting remaining gaps in coverage. Councils remain particularly focused on tackling inequalities in rural and scattered communities, where physical access continues to lag.

Measuring Impact

Alongside these infrastructure challenges, nine in 10 councils have not yet been able to measure the economic or social impact of improved connectivity. While 70% of councils would like to undertake formal impact assessments, many lack the internal capacity and usable frameworks needed to do so.

Digital Inclusion

Dr Muir added: “Councils are thinking more about digital inclusion, resilience and the wider ecosystem around connectivity. But there is also a gap between ambition and measurement. If we are to make the case for sustained investment, we must become much better at quantifying the impact interventions make.”

Barriers to inclusion remain. Councils identified low digital skills and confidence (31%), affordability (26%) and lack of access to devices (19%) as the biggest challenges to unlocking connectivity benefits. These findings underline that simply building infrastructure does not guarantee progress without parallel investment in capability and uptake.

Mobile

While the prominence of 5G in local strategies remains low, councils are still grappling with mobile coverage frustrations. One in three say that poor mobile reception is the single most common complaint, especially in rural areas. Moreover, many report a disconnect between operator-stated coverage maps and the reality experienced by residents.

Three quarters of respondents also flagged growing concerns around network resilience, particularly in the wake of weather-related outages. However, many were uncertain over where responsibility lies for telecoms infrastructure recovery and contingency planning.

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Data Centres

Data centre development remains a relatively low priority for most councils, despite the sector’s recent designation as Critical National Infrastructure. That said, more than a third (35%) of authorities said they are actively trying to attract data centre investment, while a further 25% are working directly with developers. Only 15% of councils reported having conducted formal economic appraisals on the potential benefits of data centre siting.

AI

AI, as alwasys, is an area of evolving interest. While 75% of councils believe artificial intelligence could help improve connectivity delivery and uptake, none reported using AI tools to shape or optimise interventions.

Councils consistently called for earlier engagement from telecoms operators, greater clarity on national policy and rollout plans, and a stronger focus on aligning central government ambitions with local delivery realities.

“Data centres and AI are part of that evolving landscape. Local authorities are engaging with both, but pragmatically,” Dr Muir added.

“They are asking hard questions about infrastructure readiness, energy, resilience and community benefit. That level of scrutiny reflects a sector that understands connectivity is critical national infrastructure and must be planned accordingly.”