The National Infrastructure Commission has warned Britain will lose out if the country's broadband connections are not improved.
According to Chairman of the body Lord Adonis, the UK lags behind the USA, Japan and the Netherlands for 4G and broadband speeds.
As a result, he is concerned that the current state of the country's digital infrastructure could hold it back in the future.
Furthermore, he insisted that work must be done to ensure that everyone has access to the latest digital communications technology.
However, Lord Adonis stressed that responsibility for infrastructure upgrades should not be limited to central government, as local leaders must also develop their own plans to meet the needs of their communities.
"We have a proud history in this country of delivering world-class infrastructure – but for years, funding has been squeezed, policy decisions have been erratic and the network is showing signs of age and strain," he commented.
"But we also risk falling behind internationally if we don't improve our mobile and broadband connections."
Lord Adonis added that action must be taken now if the country is to have infrastructure fit for the future, capable of supporting nationwide economic growth.
Ministers have already promised to implement a new broadband Universal Service Obligation that ensures everyone in Britain has a legal right to request minimum speeds of 10Mbps by 2020.
The government believes this is the speed that will meet the typical needs of a family that wants to browse the web, stream films and carry out video conferencing at the same time.