COLCHESTER is set to get a major boost to its economy thanks to a £3.45 million investment in extending ultrafast broadband.

Colchester is the first authority in East Anglia to secure the funding from the Government’s local full fibre network fund, which was announced last year.

The £3.45 million funding will be used to improve access to ultrafast broadband in the town, which means speeds of up to 1000mbs per second or higher will be available to residents and businesses.

Work to install the new network, which will expand the ultrafast range to cover all of Colchester town centre and the Northern Gateway as well as parts of Greenstead, Severalls Business Park and the Hythe, will begin in April.

Some firms in the town centre can already access the speeds because of a previous fibre installation project secured by the council in 2016 and the new funding will help extend this capability.

Independent estimates say the latest set of investment could boost Colchester’s economy by about 6 per cent, or roughly £230 million.

Margot James, Minister for Digital, Culture, Media and Sport, said: “We’re building a Britain that’s fit for the future, and our plans for a national full fibre broadband network underpin our modern industrial strategy. This £3.45 million boost for gigabit speeds in Colchester will build on the tremendous work already being done by Colchester Council and I congratulate them on what they have already achieved.”

The bid for the investment was led by Colchester Amphora Trading, the council’s commercial trading company which was formed last year.

Nick Barlow, Colchester councillor responsible for commercial services, said: “It is fantastic news Colchester has been awarded this huge sum to support our plans to deliver ultrafast broadband across the borough, particularly as the digital, creative and online sectors are some of the most important drivers of innovation and growth for Colchester’s economy.”