'Snooping Bill' won't hurt UK ecommerce, says e-envoy

The Regulation of Investigatory Powers Bill (RIP) will have no impact on ecommerce in the UK, according to e-envoy Alex Allan.

During a speech to an audience of leading UK high-tech industry figures in London yesterday, he said: "I don't believe it is a threat to ecommerce. The figures that have been bandied around regarding the potential damage to UK ecommerce are just not justified."

Allan's speech comes in the same week that three ISPs threatened to move servers out of the UK if the Bill becomes law. They are worried that the costs of monitoring will be carried by ISPs and customers will move to cheaper and more secure service providers based abroad.

Allan told silicon.com after the speech that any ISPs threatening to leave the country were making a premature decision. He said: "I would tell any companies who say they are likely to leave the country, to wait and see what actually happens. The Treasury is currently reviewing the assistance we can give to ISPs, and their concerns are being addressed."

Although no government money has been promised to ISPs - which are required under the Bill to install and maintain monitoring equipment - the government has recently hinted it is ready to reimburse their costs. An answer to this is expected in the government's comprehensive spending review, which should be announced next Tuesday.

Nicholas Lansman, secretary general for the ISP Association in the UK (ISPA UK), said the impact upon UK ecommerce was dependent on the government picking up the tab for the Bill's implementation. He said: "We hope the Home Office has taken note of a passionate and united industry view that the Bill, as it stands, would severely damage the ISP industry. The government really has to dip its hands in its pockets about this."

A spokesman for the British Chambers of Commerce - who sponsored research that found the Bill would cost the UK £46bn - said many of its concerns had now been addressed by government amendments. "It's far too early to say the Bill will have no impact on ecommerce, but government amendments have gone a long way to satisfy our worries."

Will Roebuck, RIP project leader for E-Centre said: "This Bill goes against the trust government has worked hard to build with business, that it is committed to make the UK the best place for ecommerce. It is making businesses very nervous about investing."

Tom Wills-Sandford, director of the Federation for Electronic Industry said Allan's views did not represent those of the conference delegates. He added: "There is a lot of concern over RIP - it will have an impact upon business."