Thousands of Londoners face uncertainty after their broadband provider, G Network, formally entered administration this week, burdened by debts estimated at around £300 million.
Full-Fibre Network Continues to Operate
Despite the financial collapse, the administrators have moved swiftly to reassure the company's 25,000 customers in the capital. They insist there will be no interruption to broadband services during the restructuring process. The firm, which was founded in 2016, operates a full-fibre network exclusively within London.
Debt specialists FitzWalter Capital, which took control of G Network earlier in January, applied to appoint administrators. Alvarez & Marsal Europe LLP have now been formally appointed as joint administrators to oversee the company's future.
Administrators Seek Buyer for 'Robust' Business
In a statement, Richard Beard, joint administrator and managing director of Alvarez and Marsal, confirmed the company would continue trading. "G Network will continue to trade as normal, with its full-fibre network operating as before and services being delivered to existing and new customers across London without interruption," he said.
Beard emphasised that the administration provides a platform for restructuring, with the goal of creating a sustainable business. He acknowledged the unsettling situation for employees, promising to keep them updated. The administrators highlighted the company's strong customer base and robust network, actively inviting interested parties to come forward to acquire the business.
Ambitious Expansion Plans Unfulfilled
The collapse marks a dramatic turn for a company with significant ambitions. Previously owned by the USS pension fund and Cube Infrastructure Managers, G Network had outlined plans to reach 1.4 million London homes by investing more than £1 billion in its infrastructure.
However, those expansion plans have now stalled. The company had appointed bankers at Jefferies and Nomura to find a buyer 18 months ago, but the search proved unsuccessful, leading to the current administration.
For G Network's customers, the immediate advice is to sit tight, as services are guaranteed to continue for now. However, consumers across the UK are always advised to regularly check they are on the best value broadband deal, especially when out of contract, and to consider haggling with their provider or exploring social tariffs if eligible.
