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The government's plans for faster broadband are not adequate to meet the needs of businesses, it has been warned.

According to the Essex Federation of Small Businesses, Lord Carter's Digital Britain report had the right intentions but is likely to fail in execution, the Harlow Herald reported.

David Miles, a spokesperson for business support at the organisation, predicted that small enterprises in rural areas would suffer the most from a lack of high-speed broadband support.

"To set a target of 2Mb by 2012 shows a distinct lack of ambition and means that by the time we reach the London 2012 Games we will be in a time warp compared to the rest of the world even if that target is reached," he told the newspaper.

Mr Miles went on to explain that one in three Essex businesses have 2Mb broadband but already find it difficult to complete their core activities because of a lack of speed and reliability.

Upon its publication, Digital Britain's proposals were compared by the FSB to those recently laid out in Japan, where the government intends to deploy 90Mb universal broadband.

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