Overview

This Digital Economy Bill aims to improve broadband speeds and coverage across the UK, enhance consumer protection in mobile phone contracts, and establish codes of practice for social media platforms to tackle online abuse. It also addresses aspects of public service broadcasting funding and prominence.

Description

Broadband

The bill mandates minimum broadband speeds of 10 Mbps download for universal service, with a target of 30 Mbps download and 6 Mbps upload speeds for all households by 2020. It prioritizes broadband rollout to SMEs and aims for fibre-to-the-premises (FTTP) connections wherever possible. The Secretary of State will direct Ofcom to review and report on the appropriateness of these speeds if uptake of 30 Mbps service reaches 75% of premises.

Mobile Phone Contracts

The bill introduces regulations requiring mobile providers to allow customers to set monthly spending limits, easily switch providers (with clear rules and charges), and receive their consumption data in a reusable format. Failure to adhere to agreed caps results in customers bearing no cost for services above that cap.

Online Abuse

A code of practice will be published to guide social media platforms on protecting children from online abuse and bullying. This code outlines duties of care, obligations to report and remove abusive content, and requirements for clear terms of service and complaint mechanisms.

BBC Funding

The bill initially proposed an independent BBC Licence Fee Commission to recommend the level of licence fee to the Secretary of State. However, this proposal was rejected by the Commons, which stated that existing funding processes are sufficient. The Commons Amendments did not amend this part of the Bill.

Public Sector Broadcasting

Amendments sought to clarify and improve the prominence of public service broadcasting channels in electronic programme guides (EPGs). The Commons amended this to require Ofcom to prepare a report on the provision of information about public service channel programmes in EPGs and facilities for selecting and accessing those programmes.

Ticket Resale Information

The bill adds requirements for ticket sellers to provide ticket reference/booking numbers and any conditions related to ticket resale to consumers.

Government Spending

The bill's financial impact is not explicitly stated in the provided text. The cost of implementing new regulations and potentially subsidizing broadband rollout could increase government spending, while changes to BBC funding mechanisms might have implications for public expenditure.

Groups Affected

• Internet Service Providers (ISPs): Face obligations to meet minimum broadband speed targets, and potentially increased costs associated with infrastructure upgrades.
• Mobile Phone Providers: Required to implement new customer protection measures, potentially affecting their business models and profitability.
• Social Media Platforms: Must comply with a code of practice regarding online abuse, potentially requiring investment in moderation and safety measures.
• Consumers: Benefit from potentially improved broadband services, greater control over mobile phone bills, and better protection from online abuse.
• Small and Medium-Sized Enterprises (SMEs): Prioritized in broadband rollout, benefiting from improved access to high-speed internet.
• BBC: Funding levels will continue to be determined by existing processes, instead of the proposed independent commission.
• OFCOM: Given additional responsibilities related to broadband regulation, reviewing codes of practice and reporting.

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