Broadband tax plans scrapped
Jodi
Recent news reveals that the government has axed plans to introduce a 50p a month broadband tax on all fixed landlines. This comes following negotiations to pass budget laws before parliament is dissolved ahead of the May election.
The proposed tax, which was set to generate £175 million a year from 2011, would have been used to enable 90% of Britons to access next generation high-speed broadband services by 2017.
Labour had previously said the broadband tax was vital for the UK. It was claimed that the cash injection would have enabled internet service providers to deliver broadband services to areas where they would find it difficult to achieve a profit.
The broadband tax issue had already become something of a party political debate as the Tories had pledged to scrap the tax if they win the election. Their plan is to use some of the TV licence fee to roll broadband services out to rural areas.
Tags: broadband