FROM THE INDUSTRY
and network operations. Labour’s stance against issuing new oil and gas exploration licenses, while ensuring an existing strategic gas reserve, could also indirectly impact the operational expenses for large telecom firms if energy prices fluctuate due to limited gas supply. Labour’s overall aim of reducing the cost of living through better digital access could encourage efforts to broaden affordable broadband coverage, potentially introducing more competition in the market as the government collaborates with private providers to ensure connectivity. This is especially relevant as Ofcom data highlights continued demand for reliable broadband services, with increasing full-fibre and 5G deployments being key to meeting consumer needs. Predictably enough there have been howls of indignation about the budget at large - particularly where private schools and farmers are concerned - from the usual critics. Other than outgoing leader Rishi Sunak’s uncharacteristically angry and final rebuke in the House of Commons on the day, until very recently the Conservatives have barely looked
“I can see why they’ve done it but it’s going to hurt”
In a number of controversial strategies from inheritance tax to national insurance, the Autumn Budget introduces measures that will impact the UK broadband and telecommunications sector, largely as part of their focus on building a sustainable infrastructure for growth and promoting green energy. Under the “Green Prosperity Plan,” Labour has committed to decarbonising the UK’s energy grid by 2030. This plan is expected to support telecommunications by facilitating investment in infrastructure powered by clean energy sources like wind and solar. Additionally, the budget includes incentives aimed at upgrading digital infrastructure, crucial for the industry as we expand our fibre networks and 5G capabilities across the UK. Significant impact will come from changes in corporate tax rates and deductions related to energy use. The government’s clean energy agenda includes gradual increases in green levies, which may affect energy costs for operators that rely on significant power for data centres
DECEMBER 2024 Volume 46 No.4
73
Made with FlippingBook - Online magazine maker