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Business

BT contributes £458 million to Kent economy

By: Chris Price

Published: 13:00, 07 November 2016

Updated: 13:31, 07 November 2016

BT has given a £458 million boost to the Kent economy in the last year, according to an independent study.

The telecoms giant, which bought Britain’s biggest mobile company EE in January, supported 4,490 jobs in the county through direct employment, spending with contractors and the spending of employees.

A report by Regeneris Consulting found the FTSE100 group spent £67 million on suppliers in the county – although this was a fraction of the £2.59 billion spent across the South East.

BT added £458 million to the Kent economy last year

Malcolm Hyde, Kent director of the Confederation of British Industry (CBI), said: “This latest research demonstrates the extent to which BT plays a key role in our local community.

“There is not a businessperson or family in this area who – directly or indirectly – is not affected by BT’s activities as a supplier of essential services, such as superfast broadband, major employer, investor or purchaser.

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“In a competitive world, in which trade and relationships increasingly transcend regional and national boundaries, rapid and effective communications are ever more vital.”

“There is not a businessperson or family in this area who – directly or indirectly – is not affected by BT’s activities as a supplier of essential services, such as superfast broadband, major employer, investor or purchaser..." - Malcolm Hyde, CBI

The report found around 10,500 people are directly employed by BT and EE in the South East – around one in 20 employees working in the region’s IT and communications sector.

It said its impact was larger than the area’s insurance industry.

The £458 million contribution in Kent – its gross valued added to the economy – was up 21% on the £379 million impact recorded last year.

Tim Fanning, associate director of Regeneris Consulting, said: “Our latest analysis has shown that, together, BT and EE contributed around £1 in every £70 of economic output in the UK in 2015/16.

“This is clearly a very substantial combined economic footprint. Moreover, this contribution is spread throughout communities up and down the country.”

Dave Axam, BT’s regional director for the South East, said: “Few organisations have a more positive and direct impact on the local economy and the South East’s communities than BT.

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“The acquisition of EE means we can invest even further, enabling people living and working in the South East to get access to the best communications - fixed line, mobile and broadband services - now and in the future.”

An Openreach engineer at work

Openreach – the company responsible for the UK’s network of broadband cables, which is owned by BT – recently announced it had recruited about 170 extra engineers in the South East to help install new lines and clear faults more quickly.

Earlier this year, BT announced Openreach and EE would be investing around £6 billion more over the next three years in the first phase of a plan to extend superfast broadband and 4G coverage beyond 95% of the country by 2020.

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