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BT increases target for boost to broadband
gt94sss2:
--- Quote ---BT is preparing to accelerate its investment which will bring superfast full-fibre broadband to millions more homes as concerns ease over the company’s pensions black hole.
The telecoms operator is about to publish more ambitious targets for its broadband rollout which will include enhanced coverage in the most remote parts of the country.
BT had previously pledged to lay full-fibre cables to 20m homes and businesses by the mid-to-late 2020s, but chief executive Philip Jansen is now poised to go further and faster.
The move is expected to be announced on Thursday when BT publishes full-year results alongside the outcome of its triennial pension review.
Analysts are expecting Mr Jansen to be handed greater financial flexibility, with the pension deficit coming in £2.2bn lower than expected at £7.5bn. As a result BT will be under less pressure to channel profits to plugging this gap, and more able to invest.
Under BT’s current plans, around 20pc of the nation – Britain’s most sparsely populated regions – has been deemed unviable for commercially funded full-fibre upgrades.
Ministers had planned to spend £5bn on subsidies by 2025 to ensure infrastructure builders still upgrade broadband in those rural areas.
With pension pressure subsiding and the Government’s super deduction policy allowing BT to cut its tax bill if it invests, Mr Jansen has a brighter financial backdrop in which to spend BT’s own cash.
BT is now in line to reduce the financial burden on the Government by investing more money in rural areas.
--- End quote ---
Taken from https://www.telegraph.co.uk/business/2021/05/08/bt-increasestarget-boostto-broadband/
Thursday should hopefully be interesting.
kitz:
Hopefully good news :)
Alex Atkin UK:
Hmmmm
--- Quote ---the Government’s super deduction policy allowing BT to cut its tax bill if it invests
--- End quote ---
--- Quote ---BT is now in line to reduce the financial burden on the Government by investing more money in rural areas.
--- End quote ---
Not saying its a bad thing, but that's rather misleading as ultimately the government are paying.
GigabitEthernet:
This sounds very encouraging, I was wondering when the build plans might be updated.
Let's hope for some good news in Hampshire!
stevebrass:
--- Quote from: Alex Atkin UK on May 09, 2021, 01:30:38 AM ---Hmmmm
Not saying its a bad thing, but that's rather misleading as ultimately the government are paying.
--- End quote ---
You mean because the "super deduction" reduces Corporation Tax Liability? So yes the Government tax take goes down.
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