Fresh attack launched on broadband tax by opposition

The proposed broadband tax has been at the centre of much controversy over recent weeks, but now faces a fresh attack from opposition parties after Stephen Timms confirmed the tax would be going ahead over the weekend.

Since it was suggested as part of the Finance Bill the proposed broadband tax from the Labour government has caused a great deal of controversy, and there was speculation over recent weeks over whether it would go ahead at all. The idea behind the plan was that fifty pence a month tax would be levied on phone lines, which amounted to six pounds a year per landline customer, and this money would then be put towards subsiding the cost of the government’s broadband for all plan.

Whilst there was some debate over whether the tax would actually come to fruition the Communications Minister Stephen Timms confirmed this weekend that the tax would in fact be going ahead, and this has raised further controversy. Whilst some business leaders have said that the six pounds a year will not be enough, as it will only raise one hundred and seventy five million pounds a year members of the Tory party are opposing the tax altogether.

Whilst the legislation would not normally have gone through until the summer of next year it is thought that it will be pushed through earlier possibly in the spring and this is because of the forthcoming election that is due. Officials have said that Tory members are keen to get the legislation blocked.

Shadow Culture Secretary Jeremy Hunt stated: “Rather than taxing Britain’s hard pressed families further, we should be seeking to stimulate investment in broadband through the regulatory structure. Slapping on a broadband tax is an old economy solution to a new economy problem. Labour has run out of ideas and the taxpayer is being forced to pay the price.”

Source – Zikkir.com