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Broadband
The Earl of Northesk asked Her Majesty's Government:
- Whether they consider that the Anglesey Connected programme, aimed at providing high speed Internet access to public sector institutions and facilities on the island of Anglesey, offers solutions as to how availability and take-up of high-speed Internet services might be rolled out more widely throughout the United Kingdom.[HL506]
Lord Sainsbury of Turville: The Anglesey Connected solution is one of many different methods of delivering broadband in the UK. The Government do not intend to promulgate a particular system of broadband delivery UK-wide. Our approach is to leave decisions on broadband delivery to those best placed to make them, taking account of all the relevant considerations.
The Earl of Northesk asked Her Majesty's Government:
- Whether they consider that the fees charged by British Telecom for activation of broadband connections are inflating the costs of Internet services provided by Internet service providers; and whether this is undermining competition in the sector and acting as a barrier to broadband take-up.[HL509]
Lord Sainsbury of Turville: The broadband market must necessarily be market driven. If the operators charge too much for their services, consumers will not use them, and they will not recoup the cost of their investment. The best chance they have of doing so is to get products into the market at a price attractive to consumers. The independent regulator Ofcom, has the power to intervene if they feel prices are being maintained artificially high.
The UK has over 300 ADSL broadband providers and significant levels of infrastructure competition. Many service providers offer free connection, activation on broadband products and deals on modems. These are commercial decisions for private sector companies. Broadband is growing fast in the UK with around 40,000 new customers a week. Competition is fostering innovative pricing—such as the free activation offer—and removing barriers to broadband take up.
The Earl of Northesk asked Her Majesty's Government:
- Whether, in light of the recently announced decision of Oftel and Ofcom to require a reduction in the price of wholesale broadband supplied by British Telecom to third-party Internet service
- providers, they are giving any consideration to other mechanisms aimed at strengthening competition in the sector.[HL511]
Lord Sainsbury of Turville: The Government wish to see a vibrant, competitive market for broadband in the UK. Their approach is in general to rely on the regulator to take measures, in line with its statutory duties, to intervene in the market where there is evidence of market failure. The Government note that the UK already has the third most competitive broadband market in the G7. It is also in the Government's interest as a major procurer of broadband connectivity and services that there be a competitive market.
The Earl of Northesk asked Her Majesty's Government:
- Whether the fees charged for activation of broadband connections in the United Kingdom are set at adequately competitive levels; and whether the example of Italy, where no connection fees are charged, should be followed.[HL510]
Lord Sainsbury of Turville: The charging structure for these products is generally a decision for the companies concerned.
The UK broadband market is more competitive than those countries in Europe with less infrastructure competition or lower retail competition in the absence of wholesale DSL services. Based on international market research, benchmarking the price of broadband in relation to other G7 countries, the UK is in fourth place, significantly ahead of Italy. This index contributes to the overall international broadband market competitiveness index, where the UK is in third place in the G7 and closing the gap on Canada, the second placed country.
Privacy and Electronic Communications
The Earl of Northesk asked Her Majesty's Government:
- What action they have taken to alert and inform commercial enterprises of the coming into force of the Privacy and Electronic Communications Regulations.[HL507]
Lord Sainsbury of Turville: The Government have sought the views of commercial enterprises at all stages of the implementation of the Directive on Privacy and Electronic Communications in the UK. Full public consultations were held on both the directive and the draft regulations, eliciting a large number of responses from businesses and business representative organisations.
Publicity and awareness-raising work on the UK regulations has included a series of 10 recent presentations to industry bodies, as well as briefing of business and national press. Further briefing and publicity work continues with business representative organisations including the British Chambers of Commerce.
The Earl of Northesk asked Her Majesty's Government:
- Whether the use of cookies on Government websites is fully compliant with the requirements of the recently implemented Privacy and Electronic Communications Regulations.[HL508]
Lord Sainsbury of Turville: The Privacy and Electronic Communications Regulations introduce new requirements to provide information and an opportunity to refuse cookies and other Internet tracking devices, with some limited exceptions. These requirements apply to all websites including government ones. The Guidelines for UK Government Websites issued by the Office of the e-Envoy in 2001 give extensive guidance on the types and uses of cookies and encourages informing users that a website is using cookies, what data they contain, what they are used for and permitting an "opt-out" from their use. The guidelines are being updated to emphasise the legal requirements of the new regulations. Compliance with the regulations is the responsibility of individual departments, agencies and local services.
The Information Commissioner's Office as the enforcement body for the Privacy and Electronic Communications Regulations has issued detailed compliance guidance on the use of cookies and other aspects of the new rules, and has powers to act where there are breaches.
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