Posted: 10th Dec, 2011 By: MarkJ


The
Federation of Small Businesses (FSB) has told the UK government that online trade, which it said was "
vital for growth", could be boosted by
enhancing its broadband policy to support a truly "
seamless infrastructure" that provides a "
fast, reliable and guaranteed service".
The FSB's new report ('
Small businesses and online trading') also reveals that 9% of smaller firms cannot get "
current generation ... up to 24Mbps" broadband and around
a quarter can only get speeds of up to 2Mbps. The FSB clearly believes that the government could be doing a lot more but, aside from a few remarks about
needing more money, they're sparse on detail.
John Walker, National Chairman of the FSB, said:
"Online trading has helped to empower small businesses to find new markets, sell new products, try new models and compete on an equal footing with larger businesses. Online trade has great potentials for small businesses but it still has its barriers. These must be removed.
The biggest obstacle for many small businesses is the lack of broadband speeds and so as a result they cannot compete online. The FSB is calling on the Government to ensure that all small businesses are connected and have access to the broadband speeds they need to allow those that want to, to do business online."
The group also questions the government's recent award of
£100 million to help up to 10 cities receive speeds of 80-100Mbps, which they believe could be "
better spent in areas where the market won't reach". In 2010
business-to-business online trade contributed
£60 Billion to the UK economy.