Tories Play Broadband Tax Card ahead of Elections
The Conservative Party has used the broadband tax proposed by the Labour party as its trump card for the elections. The Labour party’s proposal has met with protests from the general public who fear the increased billing they will face if this tax is indeed imposed.
The Labour party has proposed a charge of 50p to each monthly bill for landline phone connections throughout Britain. This is part of the Digital Britain initiative and is anticipated to generate revenues that will be used to improve broadband facilities across the country.
Predictions are that a tax of £6 a year extra per landline connection can bring in a substantial £175 million into the kitty. A competitive supply market will result from the improved broadband network that will be put in place with this fund, that is expected to bring down prices which will offset the addition to the bill. However, this broadband tax has not been received well by users for the obvious reason that it will involve an additional burden on them.
Now the Conservatives have used this tax as their electoral trump card, and have vowed to do away with it if it is voted to power in Britain. Speaking for the Tories, culture secretary Jeremy Hunt has confirmed in a Financial Times interview that his party will indeed discard the plan. However, it is not clear how the Tories will enable high speed broadband across the UK without this fund.
There were rumours that the Labour Party is not very keen on pushing the plan through right now as it may adversely affect their performance in the elections. However, Stephen Timms, minister for Digital Britain, has reiterated that he hopes to see the law put in place before elections.
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