Finance
BT says 'government-inflicted' costs are 10 times higher in UK than Europe
Published by Global Banking and Finance Review
Posted on September 24, 2025
2 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on September 24, 2025
2 min readLast updated: January 21, 2026
BT's CEO states UK government costs are 10 times higher than Europe, affecting telecom investment. BT's fibre network reaches 20 million homes.
By Paul Sandle
LONDON (Reuters) -The boss of BT said the burden of "government inflicted" taxes and compliance was 10 times higher in Britain than in Europe, as she warned that uncertainty about any further increase would deter the investment the country needed.
Chief Executive Allison Kirkby said BT and the wider telecoms sector could be a catalyst for economic growth but investors needed certainty that they could make a return.
"We've invested 25 billion pounds, the majority of that into what is Europe's largest, fastest, highest quality fibre footprint," she said at the Connected Britain conference on Wednesday.
"If it's truly adopted by citizens, businesses and enterprises, it can fuel real growth."
The business and trade department did not immediately respond to a Reuters request for comment on Kirkby's comments, which came after U.S. drugmaker Eli Lilly boss Dave Ricks labelled Britain as "probably the worst country in Europe" for drug prices.
PEAK GOVERNMENT-INFLICTED COSTS
BT's Openreach networks arm said on Wednesday its fibre roll-out had reached the milestone figure of 20 million homes, with take-up running at 38%.
Ahead of what she said would be a "very difficult" budget in November, Kirkby said BT had looked at the government-inflicted costs it was paying.
"We pay in business rates, energy levies, and other costs associated with regulation and compliance 10 times the amount our peers pay in countries like Germany and the Netherlands," she said.
"So we're already at peak government-inflicted costs."
She said BT could be a showcase for the investment Britain needed in water, energy, transport and other infrastructure.
"What do investors need? They need certainty that they are going to get a return on that investment and they get that certainty through stability on regulatory and fiscal policy," she said.
(Reporting by Paul Sandle; Additional reporting by Muvija M; Editing by Kirsten Donovan)
BT's CEO Allison Kirkby stated that the government-inflicted costs are ten times higher in the UK than in countries like Germany and the Netherlands.
BT has invested 25 billion pounds into what is described as Europe's largest and fastest fibre footprint.
BT needs certainty and stability in regulatory and fiscal policy to assure investors they will receive a return on their investments.
BT's Openreach announced that its fibre roll-out has reached 20 million homes, with a take-up rate of 38%.
High government costs could hinder BT's ability to invest further in infrastructure and could impact the overall economic growth potential of the telecom sector.
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