In an effort to fight online piracy, the Government has proposed plans in the Digital Economy Bill that will leave UK broadband users bill of £500 million.
The internet providers will dispatch warning letters to the suspected customers who download copyright material legally. Even then, if customers continue illegal downloads using their broadband connection, they will have to face slower speeds or cut-off the connection. Estimates work out to be £25 add on per user every year.
Ministers have revealed that the Digital Economy Bill will add on an extra £1.40 per user who has been warned. It could potentially take 40,000 households across the UK giving up their internet connection.
On the other side the Bill has predicted that the strong steps taken to fight online piracy will generate extra sales worth £1.7 billion for the music and film industries, and an extra £350 million for the government in additional VAT.
A spokesman from the BPI commented, "It is in everyone's interest that ISP's statutory obligations can be discharged as cost efficiently as possible - particularly those law-abiding broadband customers who currently carry the burden of infringers". TalkTalk, BT and other internet service providers have asked government to reconsider the plans proposed in the Digital Economy Bill.