The Channel logo


By | Team Register 15th October 2010 13:19

BT dodges axe

Firm keen to reassure investors on bottom line

BT's finances will not be affected by government efforts to renegotiate massive IT contracts, it told investors today.

The Cabinet Office has been seeking savings from all major contractors. BT said its discussions with Minister Francis Maude agreed new efficiencies but will not damage its bottom line.

Jeff Kelly, who as Global Services CEO has overseen heavy cost-cutting in the last year, said: "Having found efficiencies in our own business, we have considerable experience which can help the Government meet its efficiency objectives.

"With today's agreement, we will continue to be one of its largest suppliers of networked IT services."

It follows suggestions at BT's last results that government cuts could have a significant impact. Global Services' rival Cable and Wireless, which runs the government's GSi intranet, issued a more explicit warning. ®

alert Send corrections


Frank Jennings

What do you do? Use manual typwriters or live in a Scottish croft? Our man advises
A rusty petrol pump at an abandoned gas station. Pic by Silvia B. Jakiello via shutterstock

Trevor Pott

Among other things, Active Directory needs an overhaul
Baby looks taken aback/shocked/affronted. Photo by Shutterstock

Kat Hall

Plans for 2 million FTTP connections in next four years 'not enough'
Microsoft CEO Satya Nadella


Suit-and-tie-wearing man tries to meditate, take deep breaths in faux yoga pose. Photo by Shutterstock
Emotional intelligence, not tech skills, is the way to woo suits
League of gentlemen poster - Tubbs and Edward at the local shop. Copyright BBC
One reselling man tells his tale of woe