Broadband is the fourth utility, says FSB
Broadband has become a fourth utility, according to a new report published by the Federation of Small Businesses (FSB).
Ranked alongside water, gas and electricity, broadband is now a fundamental need of all businesses in the UK and without it they will struggle to survive, let alone grow. And while the FSB says there has been impressive progress in the UK's broadband services, gaps remain between customer expectations, received quality of service, and promised delivery by providers.
To address the problem the FSB, an organisation that promotes and protects the interests of SMEs, has suggested that Britain creates a new voluntary code of practice and an ambitious digital Universal Service Obligation (USO) to fix the issues holding back the UK’s digital ambitions.
The report revealed that good broadband is now considered ‘highly important’ by 99 per cent businesses. Moreover, it outlined the ways in which SMEs are using better connectivity to deliver innovative new services or make substantial efficiency gains or cost savings.
However, small businesses are also disgruntled about the broadband services they are receiving, with many firms switching providers to get faster speeds. Indeed, 19 per cent of the companies questioned said that by changing to providers who claim to have faster speeds, even if they failed to deliver the higher speeds advertised, they would nonetheless get the assurance of sufficient speeds to carry out essential tasks needed to realise their online ambitions.
Ted Salmon, FSB north east regional chairman, commented: “Large numbers of small firms are using new digital technology to revolutionise the way they do business, but the market still has barriers stopping firms from seizing these opportunities.
“A voluntary code of practice will help simplify matters and build trust between business customers and service providers. It will also allow small firms to better understand what services are available and how they can integrate these into their future business strategy. Getting this right will provide a boost to future economic growth and productivity.”
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