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Ofcom has welcomed BT's planned £1.5 billion investment into a high-speed fibre-optic network in the UK.

The telecoms giant announced plans earlier this week to supply ten million homes with speeds of up to 100 megabits per second by 2012.

BT called on the support of Ofcom, which will be responsible for laying down the regulations applicable to operators planning to invest in the new super-fast broadband network.

In an endorsement of BT's move, Ofcom's chief executive Ed Richards commented: "This is a clear sign that the UK market is moving in the right direction, with a growing number of plans to deliver super-fast broadband services to consumers.

"These new networks will be a critical part of the UK’s infrastructure and will change our experience of communications."

BT reported a 25 per cent increase in broadband revenues for the fourth quarter of 2007.

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