The communications company CableTel has introduced its service to businesses in the north-west, involving a £50 million investment in the Derry area, where customers already include Derry City Council and Saint Columb's College. Initially, the service will be available in the Springtown and Pennyburn Industrial Estates, and in the city centre. Private households are not expected to be able to avail of the service until early next year.

CableTel's managing director, Mr Owen Lamont, said that for too long the north-west had not had a choice among telecommunications providers and his company would now be providing an element of competition.

"We are a lot more than a phone company," Mr Lamont said. "The future will include personal computers and the Internet. We are now the fastest-growing Internet provider in the UK."

Derry City Council's chief executive, Mr John Keanie, said that the arrival of the CableTel operation made the area even more attractive for inward investment. However, he said the government should do more to improve the local infrastructure, in particular spending more money on upgrading road links.

"Attracting jobs to the north-west is a difficult job," Mr Keanie said. "I hope that examples like this, where private sector companies such as CableTel show that they are prepared to make a commitment to the area, will encourage the government to complete the job."