BUDGET: Broadband tax officially scrapped

The coalition government has decided not to pursue Labour's plans to add a 50p tax to all landline telephone users to pay for an improved broadband network. George Osborne made the announcement as part of his emergency Budget.

The Conservatives were vocal in their dissatisfaction with the proposal when they were in opposition, suggesting that competition within an open market would be a more beneficial way of creating the broadband network.

Ed Vaizey is reported to be overseeing a scheme outlined in a document that matched what was written in the Conservative manifesto.

In it says the new government will "ensure the rapid rollout of superfast broadband across the country" and that it will ensure that the infrastructure owned by BT and other firms can be used to deliver the services.

The document says: "If necessary, we will consider using the part of the TV licence fee that is supporting the digital switchover to fund broadband in areas that the market alone will not reach".

If any other Budget announcements affect the tech world, then we'll be sure to cover them right here on Pocket-lint, so keep your eyes peeled.