A plan to provide free wireless broadband throughout Dublin has been abandoned.

Dublin City Council has decided the plan would be contrary to EU law on state aid, as well as not financially possible. The project is estimated to cost €27m.

But the Labour Party, which says it originally proposed the idea of a free wi-fi city, has accused the Council of backing down as a result of pressure from the telecommunications industry.

Dublin City Council says it still intends to provide free broadband access on a test basis to areas like Ballymun and Ballyfermot, where there is a lack of coverage.

Free wireless access will also be available in public libraries and public buildings.