Home Computer Initiative (HCI) - A Century Perspective
Released on = April 12, 2006, 5:45 am
Press Release Author = Century Computing Support Services Ltd
Industry = Computers
Press Release Summary = Gordon Brown axed the Home Computer Initiative (HCI) giving Value Added Resellers (VARs) just 10 days to react. CRN magazine reports that one VAR has already gone into voluntary liquidation following the budgetary news.
Press Release Body = Back in 1999 Patricia Hewitt a then DTI Minister announced the Home Computer Initiative (HCI). The reasoning behind this was given as \"to drive up PC penetration in private homes, building up peoples IT skills, encouraging digital inclusion and ensuring that the UK is the leading country in Europe for e-Business.\"
The scheme was designed to allow individuals to purchase computers through their companies. The cost of the equipment was deducted from salaries before tax, thus saving the employees up to 40% of the total equipment cost.
On 22nd March 2006 the Chancellor of the Exchequer, Gordon Brown killed off the entire initiative from 6th April 2006 in his new budget. Calls for a reversal have come into the Government from the Shadow Chancellor George Osborne, as well as many UK business leaders. As many companies across the UK were set up purely to support or provide the HCI to businesses, the budget can be said to have had a very damaging effect for some people.
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