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Doubling the speed would create benefits worth £2.5 billion, even after the higher cost of achieving it is factored in.

The new Digital Economy Act sets out powers for the Government to impose a minimum broadband speed of 10 mega-bits-per-second (10 mbps).

But a new study by the Department for Culture, Media and Sport suggests a speed of 20 mbps would provide greater value for money.

The study, which was slipped out on Sunday, suggests a legal minimum speed of 10 mbps would create benefits to the economy of £2.2 billion once the costs of achieving it are taken into account.

In a surprise move, digital minister Matt Hancock said the new law could be shelved in return for a voluntary commitment from the telecoms giant to spend £600 million on rolling out broadband to 1.2 million homes that cannot get a decent service.

Under the terms of the arrangement, all broadband customers could face a surcharge on their bills to pay for the rollout.

The Department for Culture, Media and Sport said the decision to adopt a slower 10mbps target was based on Ofcom advice that this would meet the needs of most families.Throughout history, theaters, music cafes and flamenco bars have opened up in this area.It brings together the bustling and cosmopolitan culture, leisure, traditional gastronomy, popular places and all types of shops.South Korea leads the way with average speeds of over 28mbps.Sweden has the fastest broadband in the EU, averaging over 20mbps.

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