The UK government is set to push through a controversial six pound broadband tax on all UK fixed telephone lines in a move which could raise as much as £175 million year. While early indications are that the tax could be introduced in 2010, it is highly unlikely that it will be brought in before the next general election as it is most certainly not a vote winner!
The UK government has used the excuse of funding the development of the next-generation fibre-optic broadband network in the UK as the reason for introducing the tax, although rather bizarrely it will not matter whether your phone line has Internet connectivity or not, as all fixed telephone lines in the UK will be charged. There is some concern that the UK government, despite massive consumer spending in the broadband industry, is still looking to milk both telephone and broadband users for yet more money.
The more money the UK government takes out of the UK broadband and telephone sector, the less money which companies will have to invest. This comes at a time when the UK broadband network is in need of enormous investment to bring it anywhere near the speeds available on the continent, especially in the Far East.