
Speaking at the Digital Britain Summit, which is convening to inform Lord Carter's Digital Britain report into the future of local TV, radio, broadband and local media, Mandelson said he had no intention of "replacing market forces" in terms of boosting broadband provision.
But he did note that "I am a public investor when it is appropriate", although he was quick to add that this extended only to "support, encourage, aid, abet, even pump prime".
The extension of broadband access is a key policy goal for the Government, which views the development of such networks as key for the growth of the creative sector, media, and wider British economy.
Earlier at the summit, Prime Minister Gordon Brown said: "I do think that the digital revolution lies at the heart of success for Britain in the years to come. Achieving that goal of universal connectivity to broadband will be a critical stepping stone to a digital Britain."
Communications Minister Carter went further, referring to the current extent of broadband provision via the private sector, he said "the markets are not providing".