A new economic study published by BT has found that resilient, high-capacity mobile networks could unlock up to £230 billion in economic benefits by 2035, as well as a broad range of social and environmental benefits for the UK.

BT’s report, Driving Growth: The £230bn Opportunity of Improved Mobile Networks, found that on its own, improved 5G standalone (5GSA) coverage could enable more than £88 billion in economic growth through the industrial adoption of new technologies, such as AI and machine learning.

The telecom giant claims that new 5GSA networks could deliver a significant increase in network capacity for the UK, particularly by opening the doors to dedicated bandwidth and advanced specifications for individual users. 

According to the report, this will have a positive impact on a broad range of areas in the UK, including for road and rail connectivity, with better coverage providing an estimated £12 billion uplift in productivity over the next ten years, while improving road connectivity to 100% coverage could result in a £45 billion opportunity when coupled with autonomous vehicles. 

Meanwhile, the report found that investing in improved 4G and 5GSA coverage could add as much as £3 billion to the UK’s rural economy, bring £26 billion in added economic value from accelerated drone adoption, and unlock £9.5 billion across the country’s broadcast, digital advertising and consumer media sectors. 

BT said the findings highlight that, if more reliable UK mobile networks were available, increased use of mobile backup options could become more attractive for businesses.

The figures show that doubling the take-up of backup options could result in recovery of around £7.9 billion in productivity as a result of reduced downtime, along with a further £37 billion in benefits unlocked through the modernisation of the energy grid.

Strong Demand, Weak Infrastructure

According to the report, however, while the UK has ample opportunity, the country is being let down by the quality of its networks.

While EE’s networks have been independently assessed as being the best in the UK, BT said that international firms benefit from mobile networks of similar or better quality, risking British businesses falling behind, even though the price of UK mobile services compares favourably against those of other economic powerhouses like the US and Germany.

The quality of the UK’s mobile networks are suffering due to rising demands, which have added substantial capacity burdens on operators just to maintain good levels of service. 

BT said another major problem is the persistent underinvestment in improving network conditions. 

Independent estimates suggest there is a potential £20 billion gap between the sector’s investment capacity and what would be required to deliver nationwide 5GSA, with significant investment also needed to reap the benefits of better resilience and wider coverage.

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The report argues that the government’s ambition should be for the UK to have ‘the most reliable, resilient and high-capacity networks available’, with BT calling for support to accelerate mobile network deployment by reforming planning laws and increasing the availability of spectrum to provide access to the best possible mobile networks.

“We’re proud to be the biggest investor in the UK’s networks, having spent billions in the last five years to deliver improved connectivity for communities in every corner of the UK,” said Howard Watson, chief security and networks officer for BT Group.

“But the way we use mobile connectivity is evolving, and as the demands on network capacity increase and retail pricing remains comparatively low, greater support is needed to unlock more private sector investment.

“To deliver the networks the nation needs for the future, we need greater collaboration with the government and regulators, as well as support from local communities and councils, so that everyone in the UK can reap the life-changing benefits connectivity brings.”