It is right for the government to take an active interest in the ownership of BT

The UK government is to block an attempt by billionaire Sunil Bharti Mittal to increase his stake in the BT, according to the Financial Times (£).

Mittal’s Bharti Enterprises conglomerate bought a 24.5 per cent stake in 2024 and has now moved to 24.95 per cent. It would require government approval to move above the 25 per cent threshold. British officials made clear to the FT that they would look to block such a move.

Prospect previously campaign for the government to take an active interest in anything which could alter the ownership of BT and potentially put jobs at risk.

Noel McClean, Deputy General Secretary of Prospect, said:

“BT is one of the jewels in the crown of UK R&D and tech innovation, so it is right that, the Government is playing an active role in its future, closely scrutinising and potentially blocking any proposed deal that could see its ownership and priorities change. Prospect called for this when Altice was trying to take over BT and it is good to see it being applied here too.

“It is our view that any takeover would inevitably risk an acceleration of cost cutting with much of it falling on long-term investment and the R&D and tech side as new owners seek to make a quick buck in an increasingly competitive environment.

“As well as impacting growth this could have implications for national security at a time when the world is increasingly unsafe.”