The government says 312,000 rural businesses and homes struggling with poor internet connection will benefit from up to £800m to modernise broadband infrastructure in rural areas of England, Scotland and Wales.
The deal with telecoms provider Openreach is described as "one of the biggest milestones in the rollout of Project Gigabit", which targets places too expensive for providers to reach with commercial activities and would otherwise be left with bad digital infrastructure.
Wales, the region with the lowest percentage of gigabit coverage, has been included in the project for the first time.
Ministers say residents and businesses in remote areas of Britain, such as the South Wales Valleys, Exmoor National Park and the Forest of Bowland, will gain access to the fastest connection on the market. As a result, the government said local rural economies will be stimulated by enabling remote working and attracting new businesses.
Peter Kyle, science, innovation and technology secretary, said:
"Over the past decade, the UK's broadband rollout has clearly not happened fast enough and has overlooked too many areas, especially in Scotland and Wales. Robust digital infrastructure is essential for growth, productivity and competitiveness and this shortfall not only poses risks to our economic stability, but also entrenches existing inequalities across the country.