Topic: Tories: '50p levy will make people disconnect'

[Clive]

Shadow minister Jeremy Hunt has claimed that Labour's proposed phone line levy to fund super-fast broadband will push hundreds of thousands of people offline.
 
Conservative Minister for Digital Britain, Jeremy Hunt MP, has voiced his party's objections to the 50p phone line tax that Labour has proposed as a way of funding next-generation broadband.

Speaking at the National Digital Inclusion Conference, Hunt said that although the Conservatives agree with the government that relying on private investment is the best solution, they don't think the proposed levy is the way to tackle it.

"It won't work because people are already extremely price sensitive. Figures have shown that up to 200,000 people would actually choose to disconnect from broadband completely rather than pay the phone tax," he said.

He went on to detail how his party proposes to fund the project alongside private funding.

"A levy is currently on the BBC licence fee, which was added to help fund the Digital Switchover. After the Digital Switchover is complete in 2012 we would then continue with this levy but use it to fund the next-generation plans.

"And the BBC support this idea, seeing as the iPlayer is one of the hungriest users of bandwith coupled with the BBC's aim to make their programmes accessible to all," Hunt said.

His comments follow on from Stephen Timms' defence of the plans on Wednesday. Hunt's speech comes on the day that the Conservatives launch their technology manifesto, ahead of the general election expected in May.

Price-comparsion site Moneysupermarket.com cautiously welcomed Hunt's comments.

"It's imperative the roll-out of 100Mbps doesn't deepen the digital divide with only urban areas able to get super-fast speeds," said Mike Wilson, broadband manager at Moneysupermarket.com.

"The government and Ofcom will need to ensure providers offer competitive packages. High speeds won't be as attractive if they're accompanied by a high price," Wilson continued.



That's it then.  No more internet for us.   

[Rik]

I don't believe the figures, unless they also dumped the phone line, the 200,000 would still pay the tax.

[Simon]

Indeed, they wouldn't have any choice, would they?  What I think is unfair, though, is charging it to people who will never even own a computer, let alone use the internet.  It's like making non-car owners pay road tax.

[Rik]

Now there's a good idea. 

[Simon]

[Rik]

And it should be payable by those temporarily resident in Canada... 

[Simon]

Oh yes, double! 

[Rik]

 

[davy51]

And it should be payable by those temporarily resident in Canada... 

Canada has better roads so it should be at least triple whether those there temporarily drive or not

[Rik]

Good point, Davy.

[Simon]

I think Cambodia has better roads then we do at the moment.

[Rik]

Doesn't everywhere?

[Simon]

Probably. 

[sam]

the UK is dead... we have no investment infrastructure and our government are spineless and believe that we should be paying for everything. Now I'm pro socialism, but this takes the biscuit. If people want faster internet connections and live in the middle of no where they should pay for it. I like to think that we embrace fairness. This is not at all fair and just plain right stupid.

The UK needs to tells its tech companies to get their houses in order. I wonder how many people suffer poor connections and not realising what they should be getting.

Oh, us Canadian residents pay enough in tax thank you!

[Rik]

Not for us, though, Sam.