Brexit Britain wins backing of Telefonica boss

One of europe’s leading executives said he is giving a ‘vote of confidence’ to postBrexit Britain and predicted that the economy will enjoy a ‘rapid bounce-back’ in 2021.

Jose Maria Alvarez- Pallete Lopez ( pictured), the chief executive of Spanish giant Telefonica, which owns O2 in the UK, welcomed the Brexit deal signed over Christmas, saying it ‘marks an exciting new chapter in Britain’s history.’

Leaving the eU will give Britain added independence and ‘renewed selfconfidence,’ and an opportunity to ‘blaze the trail’ in the digital revolution. Alvarez-Pallete, 57, called on the Government to put ‘rocket-fuel’ into the recovery by taking steps to boost connectivity. He said the Brexit trade deal is ‘a good one for consumers in the UK and offers much-needed reassurance and certainty for a number of sectors’. He added: ‘The deal will provide foundations for consumer confidence and – coupled with encouraging news on the Covid-19 vaccine front. There is every reason to believe that 2021 can see a rapid bounce-back for the British economy.’ Telefonica in May announced a £ 31bn merger of its O2 operation in the UK with Virgin Media, which is owned by US giant Liberty Global. The Competition and Markets Authority has launched a full probe into the proposed deal, which would combine the UK’s largest mobile phone operator with its second-biggest broadband player.

O2 has 34m mobile phone customers while more than 5m have signed up to Virgin Media for broadband, pay TV and mobile services.

The CMA is concerned that a merger could lead to a worse deal for British consumers.

Telefonica and Liberty have said they will invest £10bn in the UK if the merger goes ahead. Investing in digital infrastructure will bring ‘clear benefits’ for businesses and consumers, he told the Mail.

Having left the eU, Britain must modernise its economy to capitalise on the digital revolution including 5G, the internet of things, and artificial intelligence.

‘now, with an added degree of independence in decision-making and renewed self-confidence, it has the opportunity to blaze the trail – there are some clear things the United Kingdom can do to put rocket-fuel in that recovery,’ Alvarez-Pallete said.

Advancing arguments that would favour the merger with Virgin Media, he called on regulator Ofcom to focus on boosting investment in the sector.

‘We want to help Britain win a race to the top, not preside over a slide in the opposite direction,’ he said.

He also called on the Government to modernise planning policy so that better coverage is easier to deliver.

‘The industry often must go through a complex planning application processes to undertake even basic upgrades of existing infrastructure.’