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PRIME MINISTER Report from the e-Minister and acting e-Envoy - 5th March 2001 Introduction This is our fourth monthly report on progress against the UK Online strategy, as set out in the UK online annual report published on 11 September. The strategy details how we are driving forward the programme of change to get individuals, businesses and Government online. As usual, this report is structured around the five key priorities identified in the UK online strategy: modern markets,confident people, successful businesses,getting government online, and world class supply. A more detailed progress report on every one of the commitments in the UK Online annual report is being published on our website at www.e-envoy.gov.uk. This report shows that of the 94 commitments announced, 75 are on track, 8 completed, and 11 are behind schedule. Modern Markets On 18 January OFTEL announced plans for operators to have earlier access to the most popular of BT’s exchanges. Agreement to bring forward the popular exchanges in urban areas was reached at a meeting of BT and operators interested in local loop unbundling and chaired by Anne Lambert, OFTEL’s Director of Operations. The meeting also agreed on further work to be done to minimise costs where only a few operators placed orders for co-location space. There will also be further work to ensure that design and costings accurately reflect the needs of those operators committed to the process. In addition, OFTEL announced that it
had started an investigation On 7 Feb OFTELpublished the initial results of its review of competition in the mobile sector. OFTEL’s research indicates that UK consumers are getting a good deal for many of their mobile phone services:·overall, mobile prices have fallen by 24 per cent since January 1999 and continue to fall.<·around 90 per cent of mobile consumers are satisfied with their overall service.·most mobile prices in the UK compare favourably with other European countries./p> However, there is evidence that prices could be lower still. In particular, the costs of international roaming, and calls between different mobile networks are not coming down as much as other services. OFTEL has a concern that competition is not yet fully effective. In particular: initial analysis shows that mobile operators are making profits greater than would be expected in a fully competitive market; competition is not evident across all services; and research shows that many consumers find information on mobile telephone products confusing. In the light of this analysis, OFTEL is undertaking further research and consulting industry and consumers on a set of proposals before issuing final conclusions in July. On 13 February we published our report on the roll-out of broadband in the UK - the Government’s new strategy to keep the UK at the forefront of the e-commerce and Internet revolution – and announced a new £30 million fund to help ensure that a digital divide in high speed Internet access does not open up between urban and rural communities. The report, entitled - UK online: the broadband future - outlines an action plan to help drive forward broadband networks across the UK, providing faster, cheaper, always-on access to online services. In particular, it includes proposals to maximise the impact of public sector’s own broadband investment, estimated at £0.5 billion over the next three years. Broadband will also offer opportunities for web-based interactive learning programmes as well as infotainment services such as streamed video and radio conferencing. A key milestone for the Government’s UK online initiative, the new strategy supports the Government’s objective of achieving universal access to the Internet by 2005.On 13 February Patricia also announced proposals for allocating the unsold 'broadband wireless licences at 28GHz, following the Government's recent auction. Companies winning the licences will be able to deliver Internet and multimedia services over the airwaves.On 15 February OFTEL launched a further major initiative to support the provision of unmetered Internet access in the UK and to provide greater choice for consumers. BT will be required to offer other operators a new wholesale unmetered Internet access product known as ST FRIACO (Single Tandem Flat Rate Internet Access Call Origination) from 26 February 2001. Under the new arrangements, operators will be able to offer consumers unmetered Internet access by connecting with BTs network at its main regional exchanges for a flat rate annual fee. Increasing the range of wholesale products available to operators should boost competition in the provision of unmetered access. It will mean that a greater number of consumers will be able to get unmetered Internet access more cheaply and easily than before. ST FRIACO is a significant addition to the current FRIACO product which OFTEL has required BT to provide since 1 June 2000. Whereas the existing FRIACO product conveys Internet calls to BT’s local exchanges, ST FRIACO conveys them across BT’s network to the operator’s own telephone network from BT’s main regional exchanges.Confident People On 29 January Chris Smith published plans to improve access to digital television services for people who are deaf, hard of hearing, blind or partially sighted. The report, which recommends more subtitling and regular reviews of sign language and audio description services, was published following a review of the provision of these services on digital television On 30 January new research was published by DfEE into the use of information and Communication Technology (ICT) showing that 50 per cent of men have used the Internet compared to 40 per cent of women. Michael Wills has called on more women to join the Internet revolution and announced the setting up of a task force to stimulate cultural change and make ICT careers more attractive to women and men. The task force will comprise people from the ICT industry, Higher and Further Education and the media. It will look at ways to help women and men increase their ICT skills to enhance their employability. The survey of 4,000 adults, conducted by Research Surveys of Great Britain (RSGB), also confirms that the Internet is used much more by younger people than older people. It found that professionals were three times more likely to have logged on than those from semi-skilled or unskilled family backgrounds (the DE social group), although Internet ownership is growing fastest in the latter group. Successful Businesses On 22 January The Health and Safety Executive, in partnership with Butterworths Trolley, launched the first government dot com site (www.hsedirect.com) designed to assist employers to meet their health and safety responsibilities. hsedirect is an online information system containing all the information employers need to help them to comply with health and safety law and HSE guidance across all industries. The UK scored highly in the annual pan-European benchmark on funding, people and the business environment, published on 24 January. The report - Not just peanuts - based on research conducted by Arthur Andersen and Growth Plus, identified the UK as being “the country that overall provides the most entrepreneur friendly environment, thereby fostering growth companies most effectively.” The report ranked the UK the highest among nine other European countries and the United States according to 20 measures covering funding, people and the business environment. Further analysis of the individual measures will enable us to identify the specific areas where the UK’s performance was perceived as less strong. The full report is available at www.notjustpeanuts.com On 29 January Patricia launched the new UK Online for Business and InterForum E-Commerce Awards for small and medium sized firms (SME's). The annual awards, which are sponsored by the Royal Bank of Scotland and Cisco Systems, and supported by the Daily Express, recognise and reward excellence in the use of electronic business amongst SME's. The awards are open to any UK-based company and the closing date for entries is 18 May 2001. The overall winner will receive £30,000 and each of the regional heat winners will be awarded £5,000 with regional runners up prizes of £2,000 and £1,000. According to a Datamonitor survey of e-commerce food retailing published on 1 February, the internet accounts for 0.4% of food grocery sales – a higher proportion than in any other country - and with the UK having five of the world’s top 15 online grocers.On 12 February Dawn Primarolo welcomed the publication of the Organisation for Economic Co-operation and Development (OECD)’s conclusions and recommendations on the taxation of electronic commerce. The publication of these recommendations and conclusions draws together all the work the OECD has been doing in this area on international direct tax (permanent establishment, income characterisation), consumption tax (VAT), and tax administration, and sets out the work programme for the next two years. Dawn revealed the UK’s determination to provide an environment in which e-commerce flourishes and that it was therefore important that taxation was not a barrier to growth. The UK would continue to contribute to the further work identified in these reports such as indirect taxation. Getting Government online e-business strategies>e-government set a number of specific targets for government departments. The primary target was for departments to report on the development of their initial e-business strategies by the end of October 2000. Links to the strategies can be found at http://www.e-envoy.gov.uk/estrats.htm The strategies were reviewed not just within the Office of the e-Envoy but also by the Modernising Public Services Division of the Cabinet Office, which is responsible for the wider modernising government agenda and by the Treasury. While the initial strategies provide a firm foundation for the development of e-government work, it is clear in virtually all cases that further development work would be beneficial. The government has therefore decided that departments should be invited to report progress by July 2001. The Office of the e-Envoy will work closely with departments both to develop the requirements for the new strategies, and to encourage and support departments in extending the coverage of their strategies beyond their boundaries. There are four key areas to which departments need to pay particular attention in developing their new strategies:
In addressing these four key themes, and in integrating e-government activity more closely with their wider strategic planning, departments will also cover a number of other important issues. Customers and take-up: Investment Lower costs. Risk and uncertainty: The modernisation of government remains an enormous challenge. E-government has a vital role in the government’s strategy to transform the quality of public services. People and businesses will be able to transact their business with government where they want, when they want, through the channel they prefer, knowing that they will get a high quality service. The developing e-business strategies provide a framework for putting in place many of the key elements, which will allow that vision to be realised.ukonline.gov.uk Citizen Portal. The ukonline.gov.uk Citizen Portal was
formally launched on 19 February. Since the site’s pilot launch
in December, it has had nearly 9 million hits. This is equivalent
to more than 123,000 visitors a day. The changes to the site from
the version launched last December include: Two new life episodes. Learning to Drive and Death and Bereavement have been added, making six life episodes now available on the site. Centrally provided local services. The new release provides a new value added service to end-users, enabling central information to be delivered and tailored to a local level. The services offered cover NHS Services, Social Security, Tax Offices, Information on Schools, Jobcentres, Passport Agency, Post Offices and Citizens Advice Bureaux. Users are able to use the site to locate relevant and important information quickly and easily, for example to locate their local GP. Enhanced news page. A News Ticker now scrolls across the top of the site and the News Menu Page also now includes sections on Government News, Commercial News, and Political Parties alongside current headlines and News stories. Users are also able to view online video and audio clips of recent political speeches and debates. Enhanced Citizen Space. Site usage figures show that Citizen Space is the most popular area of ukonline.gov.uk with approximately 40% of total page hits on Citizen Space. We have improved the navigation and search facilities of this area, to make it easier for users to contribute to, access and locate discussions. Much enhanced search facilities. The Search Engine is one of the key ways that the site can deliver information to users. The structure of the search result screens has been revised to organise the results into a clearer and more usable structure. The search results are now broken down into logical areas and the search can be narrowly or widely defined, depending on user preferences. Easy Access. The initial Easy Access pages for the key entry areas to the site were delivered in this release of the site and the full rollout of the Easy Access suite will be completed in March 2001. This will increase the accessibility of the site for users and make it more socially inclusive. The Easy Access suite will enable the blind, visually impaired and those with reading difficulties to use the site more easily. Meet the Editor. The Meet the Editor Page has been improved to create a more personal experience for users, including a photograph of the Editor himself, Lucian Hudson. The page also includes a ‘what’s new’ area to promote upcoming features and Government releases and services, which will be updated fortnightly. UK online The launch of ukonline.gov.uk on 19 February attracted good coverage in the national and specialist media. Further coverage is being sought with national, regional and specialist media based on the Life Episodes area of the site, media competitions and radio interviews throughout March. The site will also feature as part of an over-arching publicity campaign for UK online running throughout March. This campaign is cross-departmental, bringing together UK online for business (DTI), UK online centres, Learndirect and Worktrain (DfEE), and UK online initiatives within DCMS with libraries and culture online. Government Gateway Following Ian McCartney’s launch of
the Government Gateway for registration and enrolment in
January, February has been focused on end to end testing for transactions.
We have worked closely with our three main customers, Inland Revenue,
MAFF and Customs and Excise along with portal and application providers.
Progress has been impressive to date and we are absolutely on track
for our live dates in March. On 20 February, Andrew Smith and Peter Gershon, CEO of the Office of Government Commerce launched the Gateway Process. The Gateway Process is a powerful technique to help Project Sponsors and Senior Responsible Owners to discharge their responsibilities for the successful delivery of large, complex or novel projects that involve procurement. The Gateway Process supports good project management by the addition of independent peer reviews by experienced people at key decision points called Gates in the life cycle of a project. The Gateway process is based on well proven techniques used in the private sector that lead to more effective delivery of planned benefits together with more predictable costs and outcomes. The OGC has conducted a number of pilots of the process since last April with considerable success. UK Online was one of the Gateway pilots which found participation in the process extremely valuable. It is a good example where the Process supports the Government's modernisation agenda by ensuring that cross-departmental objectives are addressed through the involvement of all stakeholders. Local Government Delivering Local Government Online sets out the Government’s proposals for supporting local authorities to achieve Local Government Online. It describes how it is intended to allocate the £350 million new money identified in the Spending Review 2000 for this purpose, and invites expressions of interest from councils wishing to become pathfinder authorities – to show the way forward on delivering services electronically. £25 million will be available in 2001/02 for around 15-20 pathfinders. Proposed funding allocations in 2002/3, and 2003/4 are £135 million and £190 million respectively - for which all councils would be eligible. Local targets for Electronic Service Delivery proposes the development of local targets for electronic service delivery to stimulate change, measure progress, and to promote consistency across local government.Other Government Developments Other recent Government developments
include the following: On 16 January Gisela Stuart welcomed the
launch of the British Library’s new, integrated Telemedicine
Information Service funded by the Department of Health. Doctors,
surgeons and health professionals will soon be able to 'see' more
patients and share their skills without moving from their desks.
The Government's relaunched information technology strategy for
the NHS reaffirms the Government's commitment to the use of telemedicine
in the delivery of faster more efficient patient care. Telemedicine
technology is already being used extensively around the world and
allows GPs and patients to talk to consultants via video links,
improves the transfer of data between GPs and hospitals during emergencies,
and enables students to watch experts at work. On 23 January Tessa Jowell launched 1,000 high-tech jobsearch terminals called Jobpoints to make it easier for jobseekers to look for work. The traditional rows of display boards with cards showing local job vacancies will be replaced with 9,000 electronic touch-screen terminals that have access to every jobcentre vacancy in the country, around 300,000 jobs, and are updated instantly. The Jobpoints are the latest part of the Employment Service's far-reaching modernisation programme which will improve access to Jobcentre services for both employers and jobseekers. On 4 February Alan Milburn announced a new drive to put the patient at the centre of the NHS with the Electronic Health Record (EHR). Over the next four years, every adult will be able to access their own at-a-glance EHR, which will hold summarised key data about patients, such as name, address, NHS number, registered GP and contact details, previous treatments, ongoing conditions, current medication, allergies and the date of any next appointments. The EHR will be securely protected, created with patient consent, with individual changes made only by authorised staff. The initiative, to help redesign the NHS around the needs of patients, is the centrepiece of a rolling programme of investment worth £700 million in the next three years to overhaul NHS information technology under the NHS Plan. On 16 February Jack Straw unveiled an innovative pilot project to harness the power of email to help combat crime. The initiative called E-Watch, will allow Neighbourhood Watch volunteers to communicate more information to the police, more quickly, and will allow the police to communicate with their local communities more effectively. The scheme went live on 19 February, initially hooking up 62 Neighbourhood Watch co-ordinators with Lancashire Police, allowing them to communicate with one another via email. The scheme is planned to roll out to over 500 Neighbourhood Watch Co-ordinators by the end of May with a view to a national rollout if the scheme proves a success. On 5 March the draft e-Government Digital & Interactive TV Framework was delivered with the intention that it will now be circulated for wider consultation. Almost everybody has a television at home, the new medium of Digital and Interactive TV provides a major opportunity to enable citizens who have not already engaged with the digital revolution to get online and interact electronically with Government. However, broadcasters and TV operators favour providing access to electronic services through 'walled gardens'. Wider discussions are necessary within the industry to ensure that citizens have choice of access to the internet. The website of the Office of the e-Envoy provides a regularly updated report on Government services that are available online. World Class SupplyAs part of the Opportunity For All In A World Of Change White Paper launched on 13 February, DTI announced a £20 million investment in a leading edge project known as the e-Science Grid Programme, with the objective of fostering industrial and academic research into next generation high bandwidth internet-like technology. This technology will form the basis of the e-business infrastructure in the next decade. DTI also announced a £20 million investment into the Next Wave Technology and Markets programme - a four year programme to create an Interdisciplinary Research Centre (IRC) to facilitate collaborative brainstorming and prototyping of intelligent appliances. The White Paper reinforces the Government's commitment to making the UK the number one country for the supply of advanced ICT and related skills, building on progress made through the implementation of the recommendations of the Stevens Report. The Government will: Expand specialist ICT and other high tech learning programmes that are available in FE and HE, in particular through the creation of 20 new technology institutes that bring HE and FE institutions together with business to provide technician, foundation, first and post-graduate degree level courses in ICT and related high tech skills. Pilot within New Deal a programme to train 5,000 people over the next three years for technician jobs in ICT. Support business to diversify the ICT workforce by bringing into skilled ICT employment those people facing disadvantage in the labour market, including people from ethnic minority communities, disabled people and older workers. Work with business to reverse the serious under-representation of women in ICT jobs. Map ICT qualifications and learning programmes against career paths in ICT so that people can better understand what knowledge and skills they will need for different advanced ICT jobs. Expand the number of advanced ICT teachers and open up new teaching opportunities to business experts. Ensure ICT students have the right practical skills and awareness of business by increasing the opportunities for students to gain relevant work experience. Measuring Success On 26 January OFTEL published a benchmarking survey of prices as at October 2000 for DSL and cable modem high bandwidth services in the USA, France, Germany and the UK showing that in the UK the monthly charge for residential higher bandwidth services was around £40, compared to £37 in France, £31 in Germany and £32 in the USA. The results for business were mixed, though generally the UK was ahead of France, but behind Germany and the US in terms of price and variety of services on offer. This is the first time it has been possible to compare retail prices for high bandwidth services in the UK with prices elsewhere. While the survey shows that UK prices were somewhat less favourable compared to the other countries surveyed, DSL and cable modem services in the UK are still at an early stage of rollout and take-up.On 11 February OFTEL published new research highlighting the extent of consumer take up of new telecom services with the aim of encouraging competition and choice so UK consumers can enjoy some of the cheapest prices in Europe for many of today's modern communications services. The research shows that: 7.5 million homes now have Internet access with 2.3 million homes - nearly one third - using some form of unmetered access. 25 per cent of households with Internet access are considering installing high speed ADSL Internet access in the next 12 months. 1.25 million homes (five per cent) have a mobile phone instead of a fixed phone. One in four households have a digital television. However, only one in three people were aware of alternative fixed line suppliers who offer consumers telecoms services using the line already in their home.
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