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The quality of broadband has become a highly frustrating issue for many companies, a new study has suggested.

Ofcom's latest research has revealed that 23 per cent of businesses in the UK are struggling with unreliable internet connections, while 15 per cent are not happy with their broadband speeds.

Despite the problems, it was suggested that many firms rely on the internet, with nine out of ten companies with five or more employees using web connections regularly.

Ed Richards, Chief Executive of Ofcom, said telecoms platforms like the internet have become of "critical importance" to many companies.

He added: "Our research points to important opportunities for industry to respond more effectively to the telecoms needs of businesses."

Earlier this week, another study by Ofcom revealed that 35 per cent of consumers in the UK took home broadband packages bundled with digital TV and home phone deals from a single provider in 2008.

The figure was a five per cent rise on 12 months earlier.

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