Business News
Broadband for all says FSB
The FSB has called upon the new Government to make basic broadband speeds a universal service obligation to help small firms grow and develop.
The FSB outlined that it was pleased to see the Government’s recognition of the importance of tackling the lack of sufficient broadband for businesses within the UK and has welcomed the appointment of a specific Broadband Minister.
However, in a new report titled ‘Broadband: Steps for an Incoming Government’, the FSB has outlined concerns that small businesses within the UK are being prevented from trading online sufficiently due to a lack of fast, reliable broadband services within their area. It has urged Ed Vaizey, the newly appointed Broadband Minister, to swiftly address the issues faced by small businesses and put measures in place to stop it happening in the future.
The report showed that small businesses, particularly in rural areas, are not getting the service they have been promised by their broadband provider and 94% outlined that they felt their service failed on advertised claims.
A lack of broadband speed could reduce productivity for small companies. Fast, reliable broadband can help businesses develop their online presence and strengthen economic growth. Rolling out a super fast broadband networking across the UK could also create 60,000 jobs and add up to £18 billion to UK GDP.
The FSB is now calling on the Government to guarantee reliable broadband for small businesses and put measure in place, which include:
• Ensuring the new Broadband Minister has direct oversight of the roll-out, improvement and maintenance of the broadband network
• Making broadband an service, similar to gas or electricity
• A stronger role for the telecommunications ombudsman and Ofcom, who must be able to rule directly against all service providers, their contractors and company groups
• Incentivising small businesses to win contracts for the installation, maintenance and ownership of broadband services
The FSB has long been calling for funds to be set aside from the TV Licensing Fee to be used in the financing of the broadband roll-out.
John Walker, National Chairman of the FSB commented: “"The lack of broadband is unacceptable in the 21st Century. The UK is lagging behind and as a result small businesses – especially in rural areas - cannot develop their business online which is vital for the growth of the UK's economy. Small firms are being misled by their service providers, who are promising broadband speeds that they are simply not delivering. Broadband is not a luxury but an essential service.
“We welcome the creation of a Broadband Minister but he must act quickly and efficiently to ensure the universal service commitment for basic broadband speeds is an obligation if the country truly wants to become a global competitor. Until then, the UK's 4.8 million small businesses will be left lagging behind as well."
