Improved broadband connection 'will boost business competition'

Businesses seeking to compete on the global stage will benefit from the government's plans to invest more money in the UK's broadband architecture, it has been claimed.

BroadbandChoices.co.uk has suggested investment in next-generation broadband technology will help boost the UK economy as a whole and could form an important part of efforts to get Britain out of the current recession.

Michael Phillips, product director at the broadband comparison website, said: "If you're running a business, the cost of moving large chunks of data is still very prohibitive in terms of the costs and the timescale to actually make that transfer from point to point."

He continued: "Having a high-speed internet network which take larger transfers of data means we can work on larger projects and larger projects tend to have larger revenues attached to them."

Earlier this year, communications minister Lord Carter unveiled proposals to ensure all UK connections are at least two megabits per second by 2012.

However, the minister recently suggested in an interview with the Daily Telegraph that it may be too costly to expand the service out to all of Britain's rural communities.