BT’s CEO, Allison Kirkby, has warned that government-imposed taxes and regulatory costs in the UK are ten times higher than in other European countries — a burden she says could scare off

the investment Britain badly needs.

Speaking at the Connected Britain conference on Wednesday, Kirkby stressed that BT and the wider telecoms sector have the potential to drive economic growth, but only if investors feel confident they’ll see returns.

“We’ve invested £25 billion, most of it into building Europe’s largest, fastest and highest-quality fibre network,” she said. “If people and businesses truly embrace it, it could spark real growth across the country.”

Her comments come as other major business leaders voice frustration over the UK’s investment climate. Earlier this month, Eli Lilly CEO Dave Ricks described Britain as “probably the worst country in Europe” for drug prices.

BT’s infrastructure arm, Openreach, announced on Wednesday that it has now rolled out full-fibre broadband to 20 million homes, with 38% of households signed up so far.

But Kirkby warned that the financial pressures are mounting. “Between business rates, energy levies and the costs of regulation and compliance, we’re paying 10 times more than our peers in places like Germany and the Netherlands,” she said. “We’ve already hit peak government-inflicted costs.”

With a “very difficult” budget looming in November, she urged the government to provide stability and predictability. “What investors need is certainty — certainty they’ll get a return. That comes from consistent regulatory and tax policy,” she added.

Kirkby also suggested BT could serve as a model for how long-term investment can help transform not just telecoms, but also critical sectors like water, energy and transport. Photo by Lukacs, Wikimedia commons. Photo by John Allan, Wikimedia commons.