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Broadband Tax to be Implemented before the Elections, Says Digital Britain Minister

The ruling Labour Party has recently declared its intentions of introducing the controversial broadband tax to generate funds for the planned future expansion and up grade of broadband network in the UK.

The proposed plan is to levy a tax of six pounds per year on each household having a landline connection. An estimate has projected the earning from this tax to be nearly one hundred and seventy five million pounds. The Government in the UK has already drawn up an ambitious plan of improving the broadband network and the quality of broadband services in the country - (see best broadband provider).

The Conservative Party’s shadow culture secretary Jeremy Hunt has opposed this new tax and has already promised to scrap it if they are voted to power. This view has been expressed by Hunt during an interview to the Financial Times. However, Hunt has not spoken of any alternative method of resource generation for improving the existing broadband network.

The general feeling was that the government would not risk the implementation of a new tax in an election year. However, Stephen Timms, the Digital Britain minister, has defied conventional wisdom and has expressed his intention to implement the same before the elections. The Labour Party feels that people will not mind paying this tax because they will benefit from the ensuing competition in the market that will definitely lower the broadband charges.

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