BT has launched a "no frills" broadband product that it expects to generate 500,000 residential connections by summer 2003.

BT says the new service will play a 'critical' role in helping it achieve its target of a million connections.

At present, the government wants to make the UK the best place in the world for e-commerce by this year, and aims to ensure that everyone who wants it has access to the internet by 2005.

Forum Response: Communication Workers Union

Jeannie Drake, deputy general secretary of the Communication Workers Union, told ePolitix.com: "The plans to stimulate the take-up of broadband with consumers and business is good news for the economy, for the telecommunications sector, for the consumer and for workers within BT.

"The initiative is a major contribution to delivering the government's target of making the UK the European leader in broadband technology. BT has shown a determination to break out of the 'low volume, high price' scenario. BT has lowered the price and was coming out fighting to deliver the volumes.

"The initiative can only be positive for the economy and for social inclusion. BT, by creating demand for broadband services, can invigorate demand for other company's products as well as its own. This news should be welcome to TeleWest and NTL as well as manufacturing concerns. The whole sector will benefit."

"Growth in the range and content of broadband services will help consolidate our members' jobs across telecommunications. The CWU will make a positive contribution to a partnership approach with the company, consumer and community groups and other interested parties."