The proposal comes as part of a new national telecoms strategy drawn up by the Department for Digital, Culture, Media and Sport (DCMS).
Under its targets, all of the UK will have full-fibre broadband coverage by 2033, replacing the copper wire network that currently delivers the service.
It proposes legislation to encourage more private infrastructure investment.
Earlier this month, research was published indicating that the UK has slipped from 31st to 35th place in the global broadband league tables, behind 25 other European countries.
The data was collected by M-Lab, a partnership between Google Open Source Research and Princeton University's PlantLab, and the results compiled by UK broadband comparison site Cable.
"We want everyone in the UK to benefit from world-class connectivity, no matter where they live, work or travel," said DCMS Secretary Jeremy Wright.
"This radical new blueprint for the future of telecommunications in this country will increase competition and investment in full-fibre broadband, create more commercial opportunities and make it easier and cheaper to roll out infrastructure for 5G."
The DCMS said its plans would "drive competition and commercial investment in full-fibre networks across as much of the UK as possible".
However, it acknowledged that in some parts of the country, it was unlikely that the market could deliver by itself.
As a result, the government would support investment in the most difficult-to-reach areas.
"We have already identified around £200m within the existing Superfast broadband programme that can further the delivery of full-fibre networks immediately," it added.
The chairman of the National Infrastructure Commission, Sir John Armitt, welcomed the government's review, which he said echoed his commission's own recommendations.
"As well as broadband, this plan will also leave the UK well-placed to introduce the latest 5G mobile technology," he added
*Credited BBC NEWS