Ofcom: Britons rate communications as priority despite downturn
Britons are still spending on mobile phones, the internet and television services despite the recession, according to Ofcom’s annual ‘Communications Market’ report.
The media regulator found that consumers view spending on communications and technology as a higher priority than most things, apart from food.
Out of the 862 participants, over 40% said they would rather cut back on holidays and eating out than spending on communications in the downturn.
Social network’s are also continuing to thrive, with 19 million people in the UK – half of all internet users – spending an average of six hours a month on Facebook, according to the report.
Ofcom said the trend is supported by the fact that communications are costing less, with cheaper mobile phone contracts and the bundling of services such as television and internet at reduced prices.
Peter Phillips, an Ofcom board member, said: “Despite the recession, people are spending more time watching TV, using their mobile phone or accessing the internet. They would rather go without meals out or holidays than give up their phone, broadband or pay TV package.”
The report’s other key findings include – consumers spending an average of 25 minutes a day online at home in May 2009, up from nine minutes in 2004, while the average household spends less on internet services, mainly due to cheap bundling services.
More and more people are watching catch-up TV online – 23% of all households compared with just 17% in 2007 – which has been particularly driven by the BBC’s iPlayer, with 5.2 million people watching the service last year.
Overall take up of broadband across the UK is also up – broadband services reached 68% of households by the end of Q1 2009, up 58% year on year, with more than 250,000 new mobile broadband connections in May this year.
Broadband usage has continued to grow in nations and regions as well – Scotland was up from 53% to 60%, in Northern Ireland take up rose from 52% to 64%, and in Wales from 45% to 58%.