BUSINESSES in Oxfordshire were warned that failure to take electronic commerce seriously could spell disaster.

Companies, especially smaller firms, that failed to take full advantage of what the Internet and e-commerce had to offer could go under.

The stark warning came from Neil Mellor, BT Government marketing manager, who said an estimated billion people would be connected to the Internet by the end of the year.

Speaking to business and community leaders in Oxford, he said: "It is vital we get over to small companies the importance of this technology.

"Where an average invoice can take about £45 to process through a normal paper procedure, we are reducing that to about £5 by working electronically. It's a dramatic impact on the bottom line."

Mr Mellor said it was equally vital that Government understood the importance and cost-saving benefits of working online.

"There is an opportunity here to save at least £6bn in the public sector by employing the same kind of electronic working. That would have an effect on the health service. It is vitally important that the message gets through."

Story date: Tuesday 15 February

Converted for the new archive on 30 June 2000. Some images and formatting may have been lost in the conversion.