Rural communities could lose out under broadband service scheme: Society

Remoter rural communities in Scotland could lose out under the proposed universal service obligation (USO) for broadband service providers, the Law Society of Scotland claimed today.

In its response to the Department for Digital, Culture Media & Sport’s consultation on the design of a new broadband USO, the Society raises concerns that the scheme is not truly universal.

Members of the Society’s Consumer Law, Competition Law, Rural Affairs, and Technology Law & Practice Committees have combined to highlight the impact of the USO on access to justice and social inclusion for individuals and on small businesses in rural communities.

While they recognise that the proposed per premise cost threshold is intended to achieve a workable balance between coverage and cost, they point out that that some of the properties with the highest installation costs and the least likely to be protected by the USO, may also be the households and businesses in need of protection under the USO and the reliable internet service provision it would enable.

The USO was enabled by the Digital Economy Act 2017, with the aim of giving every household and business the right to request a broadband connection at a minimum speed and up to a reasonable cost threshold, regardless of where they are based. The Society believes that lack of adequate internet provision results in the problems and challenges associated with living in rural locations across Scotland being compounded.

Jim Drysdale, convener of the Rural Affairs Committee commented: “We are concerned that the proposed design of the USO will have a particularly negative effect in the Scottish context where there is a higher proportion of rural communities than in other parts of the UK.

“The Society campaigns in support of equal and fair access to justice regardless of an individual’s social or financial circumstances, or indeed their location. We believe that it is perhaps even more important that in areas of the country where it is not easy or possible to obtain face to face advice, reliable and affordable access to legal advice is available remotely."

In addition the response points out that courts and tribunal services are increasingly moving to online systems, with employment tribunals now almost exclusively so. And as well as formal processes, many company complaints procedures are handled through digital channels, which can facilitate cheap and effective resolution of potential disputes.

Mr Drysdale continued: “We also have questions and concerns about the wider issue of social inclusion and access to goods and services when so many necessary aspects of daily life depend on internet access. Online banking for example is crucial to individuals in rural communities where the nearest branch may be outwith a reasonable distance.

“The same can be said for businesses in rural communities where compliance has also moved in to the online environment. HMRC, for example require a 'reasonable excuse' for using paper forms. SMEs depend on the internet both to access the services and commodities they need to run their businesses; but also to market, sell and distribute their own products and services. This is crucial if they are to compete effectively with businesses in more densely populated areas and ultimately, stay afloat.”

The response concludes: "In line with the policy considerations around access to justice, access to services, social inclusion and business necessity outlined above, we conclude that uniform pricing should also be applied to provision of the service."

Click here to view the full response.