But it may also spark renewed price competition between broadband service providers, such as phone companies like Verizon Communications pushing digital subscriber lineservice, and cable companies like Comcast and Time Warner offering cable modem service.
Dave Penman, general secretary of the FDA union which represents around 18, 000 civil servants, defended the civil service, saying it had succeeded in delivering substantial savings in line with the government's priorities at the same time as delivering its "radical" reform agenda.