Hyperoptic in the money after raising £250m to back fibre plans

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Broadband provider Hyperoptic has raised £250 million to fund the rollout of fibre to 50 towns and cities across the UK in 2019.

The company said the investment, which has been provided by eight banks, will be the largest in the UK for fibre provision. It is aiming to reach two million buildings by 2022 and hit five million by 2025.

Around half a million homes and businesses already use the company's 1GBps service. Over the past year, it grew its network by 10 towns and cities and has signed contracts for an additional 19, which will lead it to covering more than 50 urban areas during the first quarter of next year.

Hyperoptic said the investment would also boost jobs, with the company targeting 400 new employees by the end of the year and an additional 1,000 by 2020.

[Read more: It's altnets vs Openreach as battle for UK fibre market heats up]

Last year Hyperoptic raised £100 million to back its plans through another funding round.

The UK considerably lags behind other European countries for fibre provision, with only four percent of Britons accessing the service.

The country's Government is aiming to connect 15 million buildings with full fibre by 2025 and deliver full coverage by 2033.

In plans announced last month it said it would relax the country's regulatory regime in order to improve the UK's fibre network.

Hyperoptic CEO Dana Tobak said: “Such large financial backing from prestigious investors is testament to the strength of Hyperoptic’s business model and proven track record for delivery. All our teams are forging ahead with one rally cry: Let’s Gigabit Britain.”