Several years ago, BT wanted to install fibre to every home (this about the same time that the cable companies were setting up shop) so that they could compete and offer TV etc (broadband was unheard of at the time).
But OFTEL said no.
Simple as that. The regulations got in the way. If they had been allowed to do what they wanted to at the time, we would all have fibre to our homes and the options would be wider.
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