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By Joey Gardiner, 19 January 2000 00:25

NEWS The UK government's £337,000 pledge to set up a 'cyber-crime unit' has been dismissed as "inadequate" by industry experts. Home Secretary Jack Straw said the money will be given to the National Criminal Intelligence Service (NCIS) to fight the growth in computer-based crime. But while the move has been broadly welcomed by the industry, experts say the commitment just doesn't take the problem seriously enough. Nick Lockett, ecommerce solicitor at law firm, Sidley & Austin, and a founder of the e-crime unit at government-industry forum, Eurim, said the government's approach is entirely disproportionate to the problem. "It continues, in my view, to exacerbate the existing failure of this government to take a realistic step to combat the growth of e-crime," he said. He claimed the government needs to spend approximately £30m to set up an effective national computer crime unit. In response, a spokeswoman for NCIS said the money is just an initial tranche, and more "should" be forthcoming in the future. However, the government is waiting on the results of a feasibility study - currently being conducted jointly by the police and NCIS - before it will say how the £337,000 will be spent, or whether any more money will be available. "We are very aware of how important this problem is, and realise that this funding is just a drop in the ocean," she said. Analysts seemed in agreement that the commitment is welcome, but only if part of a much wider programme. Philip Virgo, secretary general of Eurim, said: "This is a big problem, and at some stage we have to change gear in our approach - this is not it." Neil Barrett, technical director at computer forensics firm, IRM, said that while the move is a fantastic leap forward, at this stage it falls short of requirements. "The government is taking it as seriously as it can, but it doesn't realise what taking it seriously equates to in cash."