Significant Increase In Broadband Use In Europe

Internet access is continuing to spread across Europe. More than 75% of households in EU27 had acces to the Intrnet in 2012 compared to less than 50% in 2006. More significantly the spread of broadband has reached 72% of household had a broadband connection in 2012 compared with 30% in 2006. In every member state half of households had a broadband connection.

Sending and receiving e-mails is till the most common online activity (89%) along with looking for information about goodsa nd services (83%). Other activities are also widely used: online news (61%), internet banking (54%), social media (52%), travel services (50%). Building web sites or blogs was a much less common activity (9%).

No Change In Income Inequality

Statistics covering the years 2008/9 suggest that income inequality remained stable during that time. The focus of the analysis published by the ONS is on the effect taxes and benefits have on disposable income. For the years covered by the study income for the top quintile (top fifth) was £73,800 on average compared with £5,000 for the bottom quintile. The top fifth received 15 times more than the bottom fifth. It is slightly down on the analysis of the years 2007/8 when it was 16 times more. When the effects of taxes and benefits are taken into consideration it is a slightly different picture. The ratio between the top and bottom is 4:1 with average final incomes of £53,900 compared with £13,600. However, the redistribution of income affects households in different ways. The effects of taxes and benefits include benefits in kind, cash benefits, direct taxes and indirect taxes which may or may not affect people individually with some 'doing better' than others such as houses with children and retired households and the cash benefits and benefits in kind like health and education.

The inequality of income can be measured by the Gini Coefficient which expresses, as a percentage, the extent of inequality where higher values indicate higher inequality. In 2008/9 the Gini Coefficient for UK was 34% for all UK households. Over the past few decades the Gini Coefficient has increased a lot from 28% in 1983 to 34 in 2008/9. It has remained almost unchanged since 2005/6. In retired households it has fallen slightly from 27 to 26%. Changes in inequality can be related to changes in the overall economy with the Gini Coefficient rising and falling during periods of growth and recession and households at the top benefiting more from growth in incomes and investments while others tend to remain stable.

Fibre-Optic The Future Of OECD Broadband

The OECD has updated its broadband statistics of member states to June 2009. The number of broadband subscribers in the OECD in June 2009 was 271 million, up 10% from June 2008, and half of OECD countries have reached 25 subscriptions in a 100 people. Future growth in fast broadband is expected to come from fibre-optic networks.

In June 2009 the United States had the most broadband subscribers by millions in the world with over 81m, Japan came second with nearly 31m and Germany with 24m. These were followed by France and the UK with 18.7 and 17.7m respectively and then Korea with nearly 16m and Italy with nearly 12m.

Korea had the largest proportion of households with 94.3% having broadband access. Iceland had 83.2% and Denmark 74.1%. The United States proprtion of households with broadband access was 50.8% (2007), the UK had 61.5%, Japan 58.5%, Germany 54.9% and Italy 30.8%.

The price range of broadband monthly subscriptions was very wide in some countries and very narrow in others. In Turkey the price range was very wide. The range was from very low at $8.45 a month to quite high at $125.95 a month in US dollars PPP terms. The Slovak Republic's range was widest from a moderately low $15.6 a month to a very high $263.23 a month. Korea had a very narrow range of prices in the middle to low range from $33.97 to $43.03. The US range in price was from $14.99 a month to $139.95 a month. UK prices ranged from $17.81 to $55.76, Japan prices range from $19.50 to $67.09 a month, Germany $23.02 to $75.15 and Italy from $11.39 to $45.43.

The average prices for low speed connections were lowest in Italy at $11.39 PPP and highest in Mexico at $57.79. The US average was $24.40, the UK $22.07, Japan $22.38 and Germany $36.96. The average monthly broadband subscription price was highest in the Slovak Republic at $78.86 PPP quite a long way ahead of Mexico in second at $59.52 and the lowest in Sweden at $29.22 ahead of Greece at £30.06.

PPP stands for Purchasing Power Parity which is a measure that gives currencies some equivalence for a meaningful comparison in terms of a parity of their purchasing power.

Internet Access Reaches 70% Of Homes

Internet access has reached 18.31 million homes. It represents 70% of households and an increase of 1.85m households since 2008. Of all households 63% or 16.5 million have a broadband connection, up from 56% in 2008. It represents 90% of all Internet access. The youngest group (16-24) had the highest level of access at 96% but the largest growing group is the oldest group (65+) with a 15% increase compared with a 3% increase with the youngest group. More men than women have accessed the Internet in the last three months.

The proportion of daily Internet access users was 73%. The youngest, with 86%, accessed the Internet the most, every day or almost every day. The oldest group use it the least, with 52% using it every day. The most popular uses are e-mail but social networking is growing with 40% of users posting messages and so on. There were also increases in audio-visual uses, web radio and web television. Internet phone calls are also now popular.

Purchasing over the Internet is a growing phenomenon with 64% having purchased online at some time and 83% within the last three months. Men buy films and music, women buy clothes or sporting goods as well as food and groceries. Youger people buy clothes and sporting goods and older people buy books, magazines, newspapers and e-learning materials.