Tuesday, 25 August 2009

Mobile broadband Tax Plan May Be Scrapped

As previously mentioned the Government has been planning a broadband tax in order to raise money to help provide 'broadband for all' by 2012. The idea of a planned tax was first put forward in the Digital Britain report as money is needed to improve the broadband infrastructure including the provision of better quality mobile broadband services to rural areas.

The planned tax would be paid by all those with a broadband connection and would be around 50p per month. Some have criticized the plan as they do not feel that the public should be funding infrastructure improvements when it will be the broadband providers who will stand to profit in the long run. Others have said that the tax is unlikely to raise enough money to make a real difference.

Speaking to The Times the Communications Minister Stephen Timms said:

“If the question is, is the levy definitely going to be legislated for this side of the election, I can’t say for sure. Things that are contentious will have to be left until after the election”

The Conservatives have said that they are against the broadband tax so the outcome of the election could decide the future of the tax. The debate will no doubt continue in the meantime.

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