Member Article

Report finds BT GVA totals £492m for the North East

A report by Regeneris Consulting has revealed that communications powerhouse BT has generated £492m for the North East economy and has supported more than 6,000 jobs in the past year.

Spending £51m with regional suppliers, the region’s economy has benefitted via direct employment, as well as BT’s spending with contractors and suppliers.

The overall beneficial financial impact of BT activities is expressed as a Gross Value Added (GVA) contribution. For the North East the BT GVA totalled £492m, equivalent to £1 in every £90 of the region’s total GVA.

Farooq Hakim, BT’s regional director for the North East, said: “There are few organisations in the North East that have a larger impact on the day-to-day life and future prospects of the region than BT.

“We are one of the region’s largest private sector employers and investors – our investment in fibre broadband in the North East alone amounts to hundreds of millions of pounds - and the services that we provide are a vital part of every community.

“The facts and figures shown in this report highlight the full extent of BT’s contribution to the local economy as we go about the daily business of keeping people connected and introducing new technologies, which are creating fresh opportunities and transforming lives.

“Aside from the company’s activities, the report also draws attention to the positive ways BT people are contributing to the communities where they live and work, whether they are a volunteer for a worthy cause or a local shopper.”

The report, ‘Social Study 2015 – The Economic Impact of BT in the United Kingdom’, analysed the role BT and its employees play in economic, business and community life across the English regions, Scotland, Wales and Northern Ireland.

North East highlights revealed that BT:

• Is responsible for the employment of 3,749 people – 3,170 direct employees and 579 contractors – with a total employment income of £120m
• Provides work for a further 2,500 people through BT’s spending with businesses that supply its equipment and services, and the spending of employees
• Committed more than £600k to community, charity and voluntary programmes, spread around many regional communities in 2014/15

Tim Fanning, associate director at Regeneris Consulting, said: “Our analysis confirms the sheer scale and reach of BT’s ongoing economic contribution to the North East and the UK as a whole.

“BT makes a contribution to every community across the UK. At the UK level, £1 in £80 of wealth created is attributable to BT – this is one of the single largest contributions to the UK economy by any firm.”

The full report is available at: www.bt.com/reports

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