UK telecoms watchdog Ofcom announced plans for a spectrum auction early in 2016, which will make available frequencies “particularly suited for high-speed mobile broadband services”.

Some 190MHz of spectrum will be made available in the 2.3GHz and 3.4GHz bands, which has been freed-up by the Ministry of Defence as part of a wider plan to free-up public sector spectrum.

But the regulator has also set a fairly modest reserve – £70 million – for the spectrum.

Ofcom said that it will not cap the amount bidders can buy, because this could “prevent a bidder from buying large blocks of adjacent spectrum”.

“Large blocks have the potential to support very fast download speeds, meaning even faster mobile broadband for consumers, which helps pave the way for 5G,” it continued.

It also noted that with several big deals underway in the UK mobile market, existing spectrum holdings could change at short notice – even during the auction itself.

The 2.3GHz band is already being used for 4G services by 10 countries outside of Europe, including large markets such as China and India – which means that supporting devices are also available.

And 3.4GHz spectrum is being used for wireless broadband in six countries, including Canada and Spain.

Due to the characteristics of the spectrum being auctioned, which favours high-speed coverage over limited areas rather than broader geographic reach, there will be no coverage obligations associated with the licences.

Ofcom’s current plan is to open applications for the auction in December, and for bidding to start early next year.