IT managers have savaged the Government's understanding of e-business in a damning criticism of the Regulation of Investigatory Powers (RIP) Bill.
The broadside comes as the House of Lords examines the controversial Bill, which will require IT departments to hand over encryption keys to law enforcement authorities.
Peers have warned that the Web-tapping legislation will undermine business confidence. The Bill could cost the UK £46bn over five years in implementation costs and lost e-commerce, according to the London School of Economics.
A Computer Weekly/Harvey Nash Big Question poll found that 83% of IT managers believed the Government had failed to grasp how important e-business will be to the UK economy. A meagre 13% said the Government realised the importance of e-business.
"This is the Government that is touting the future of the UK as the centre of e-business in Europe. But they want to impose draconian laws that will discourage anyone using the UK to host or supply e-business services," said one IT manager.