BT "has boosted Scottish economy by £1bn"

Communications giant BT has provided a £1 billion boost to the Scottish economy in the past year, according to a report.

Published 7th Nov 2016

Communications giant BT has provided a £1 billion boost to the Scottish economy in the past year, according to a report.

An independent study found BT supported around 12,600 jobs in Scotland through direct employment, spending with contractors and suppliers, and the spending of employees.

The report highlights the local impact of BT's activities including its takeover of EE, and found it spent around £171 million with Scottish suppliers.

BT, including EE, was responsible for the employment of around 7,400 people and contractors in Scotland in 2015-16 - with a total income of around £225 million.

It also provided work for a further 5,170 people through spending with businesses that supply equipment and services, as well as through the spending of its staff.

The report, The Economic Impact of BT and EE in the UK by Regeneris Consulting, outlines the combined economic contribution of the two companies across Scotland, Wales, Northern Ireland and the English regions in the financial year 2015-16.

Brendan Dick, BT Scotland director, said: “Few organisations have a more positive and direct impact on the local economy and Scotland's communities than BT.

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

“As well as providing the means for families, homeworkers, companies and other organisations to communicate and do business in new and exciting ways, BT is helping to support other firms and suppliers in Scotland with the company's procurement and overall expenditure and the spending of its employees.”

The overall economic impact of BT and EE activities is expressed as a “Gross Value Added” (GVA) contribution, which measures the value of all goods and services produced in an economy.

For Scotland this combined GVA totalled £1.08 billion - equivalent to £1 in every £125 of the nation's total GVA - the report found.

The company employs staff in every part of the country, with key local centres in Edinburgh, Glasgow, Dundee, Aberdeen, Alness and Thurso.

Openreach - BT's local network business - recently completed the recruitment of around 220 extra engineers and apprentices in Scotland to help install new lines and clear faults more quickly.

CBI Scotland director Hugh Aitken said: “This latest research demonstrates the extent to which BT plays a key role in our local communities throughout Scotland.

“There is not a businessperson or family in Scotland 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.

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