Talktalk say no to government broadband tax
The Government has been warned that adding a 50 pence tax to all fixed phone lines in order to help fund next generation internet connections, will only result in about one hundred thousand low income homes cutting their broadband lines.
The warning comes in the wake of the Digital Britain Report that was published in June, which suggests that by raising the tax on fixed lines funding would become available for faster broadband speeds across the country. Raising the tax to ?40 per home on fixed lines for seven years would raise one billion pounds.
Chief executive officer of TalkTalk, Charles Dunstone, stated that the tax would be unjust because it will allow richer customers to receive better broadband services in rural areas while punishing those who have lower incomes in cities.
According to Dunstone as a result of the tax many low income homes will have to give up their broadband access.
TalkTalk stated that it still stands behind the government target of reaching 2Mbps of broadband speed in every area of the UK, but added that more public funds need to become available to make it a reality otherwise private sectors will be stalled waiting for funds.
Dunstone went on to say that public funds will waste consumer?s money and slow down the progress of broadband roll-out stating that the private sector needs to stand behind expansion.
