Reliable access to a fast broadband service is crucial for small businesses hoping to remain competitive in the global economy, the Federation of Small Businesses (FSB) has claimed.

The group made the statement as it released findings from a study it carried out jointly with ICM, which revealed that some small businesses would consider moving their premises to an area with faster broadband speeds.

It is calling on the government to ensure that a good broadband infrastructure is put in place so that small firms and consumers get the broadband service they expect.

In addition, the FSB believes that internet service providers should be obliged to deliver minimum connection speeds of 8Mb/s direct to business premises.

"The online world is crucial to small business development, especially as small firms look to grow and expand as the economy recovers," said FSB national chairman John Wright.

Earlier this month, a technology expert predicted that broadband is set to play an increasingly central part in people's everyday lives.

Tony Tickle, coordinator at Digital Bury, said new broadband technologies will be more involved in everything from education to the way roads operate.

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