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What the election manifestos say about e-business

OUT-LAW News, 06/06/2001

OUT-LAW.COM offers a summary of what the manifestos of Labour, the Conservatives, the Liberal Democrats and the SNP have to say about e-business and technology in Britain. Labour is promising improvements in broad; Torys would scrap IR35.

Labour

On broadband, the manifesto states:

"We want the UK to have the most extensive and competitive broadband market in the G7 by 2005, with significantly increased broadband connections to schools, libraries, further education colleges and universities. One of the barriers to achieving this goal may be the fragmentation of demand, and one of the ways government is looking to tackle this would be by aggregating demand for bandwidth in the public sector in ways likely to stimulate investment by the public sector, particularly in rural areas. We will also need to benchmark the UK's performance against other countries and keep under review the need for further interventions and incentives to stimulate the market, especially outside major urban and business centres."

The Labour manifesto also expresses a desire to modernise UK infrastructure for an information age. This includes installing the best competitive environment, effective regulation, and continued public and private investment in the technologies of the future. As well as the broadband policies outlined above, Labour would strive to ensure internet access in every household in the country.

Conservatives

Most significantly, the party wants to repeal the controversial IR35 legislation. The IR35 legislation treats small businesses in the knowledge-based sector as “disguised employees” for tax and NI purposes, thereby preventing them from operating on similar terms to their larger competitors. Recently, the Professional Contractors Group, which lobbied against the tax, lost its case for judicial review of the legislation.

The Conservatives will review the operation of the Regulation of Investigatory Powers Act, which came into force in October 2000. The Act became controversial by setting out the powers of interception of communications and giving law enforcement authorities the power to demand the keys to encrypted data. The manifesto adds that the party is in favour of the legislation in principle. The party adds that it will “free up” the IT sector and “nurture and support” people engaged in the new economy.

On broadband, the Conservatives say the UK is lagging behind in development and that a Conservative government would initiate a review of the telecom market structure to ensure fair and open access to local networks.

The manifesto states:

"Despite the importance of successfully rolling out broadband access the government's approach has failed. One of its key roles, through Oftel, should be opening up the local telecommunications network to competition, enabling all operators to offer a wide range of voice and data services directly to end users. This will not be achieved speedily and we lag behind our European competitors. The next Conservative government will make allocating the licences to ensure comprehensive coverage a priority and consult industry on the appropriate mechanism which does not undermine investment in the accompanying products."

Liberal Democrats

The Liberal Democrats manifesto makes no real mention of policy on broadband technology. The manifesto states:

"The Liberal Democrats are committed to maintaining an environment that will allow the potential of e-commerce, privacy, taxation/tariffs and law enforcement to ensure the UK is a leader in e-business. But the key issue underpinning the success of the UK in the e-commerce age is the existence of widespread internet access for all."

Scottish National Party

In Scotland, the SNP also champions the cause of e-commerce within its manifesto. The party wants to “up-skill Scotland for the global economy” and build a modern telecommunications infrastructure. The party also believes that a lack of broadband technology is holding back business in Scotland. The manifesto states:

"The main thrust of the SNP's ideas is that Scotland's infrastructure must be improved for the country to be able to compete. So we want more people to have access to the kind of broadband technology which increases the speed at which information is downloaded from the net."

 

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