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Proposed broadband speeds too slow for businesses. Pearson May News Update - Monday 22 June
- HMRC publishes new rules for online filing of corporation tax
- Proposed broadband speeds too slow for businesses
- HMRC publishes new rules for online filing of corporation tax
- Proposed broadband speeds too slow for businesses
Proposed broadband speeds too slow for businesses
The government’s targets for future broadband speeds lack ambition and will not benefit businesses, it has been claimed.
Following the announcement in its Digital Britain report that the government intends to get all broadband links up to 2mbps by 2012, the Federation of Small Businesses (FSB) welcomed the commitment but argued that the plans will leave the UK in a “time-warp”.
According to research carried out by the FSB, a third of small businesses already have 2mbps broadband speed, yet still struggle to carry out core, day-to-day business activities.
More than half of small businesses rely on the internet for up to 50 per cent of their annual turnover, yet simple tasks such as emailing, marketing, buying and selling, are time-consuming because their broadband speeds are letting them down, the FSB continued.
John Wright, the FSB’s national chairman, said: “The online world is crucial to small business development, especially for firms in rural Britain where businesses have been waiting for years for promised government action to deal with the ‘notspots’ – where there is no broadband access.”
Mr Wright went on to say that by 2012 some 20 per cent of all business will come from online commerce, but if small businesses are to compete, the government must take more ambitious action.
He added: “Around 60 per cent of small businesses want a minimum broadband speed of 8mbps. But with Japan leading the way, making high speed broadband of 90mbps available to everyone, the FSB urges the government to do more.
“Small businesses are ready to play their part. Now the government needs to step up and take the country into a future when UK businesses are internationally competitive.”
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