Original article can be found in House Magazine

Achieving government ambitions on housing and AI cannot happen in isolation. National policies must recognise mobile connectivity’s enabling role. Planning reform, fiscal reform to enable reinvestment, and streamlined building safety rules are critical to deliver these goals.

The government has set a bold, pro-growth agenda. From targeting 1.5 million new homes to establishing the UK as a global superpower in artificial intelligence, the ambition is palpable. However, in the rush to lay bricks and build data centres, we must not overlook the invisible foundation upon which modern prosperity is built: world-class mobile connectivity.

4G and 5G are no longer just consumer conveniences; they are critical national infrastructure. AI applications, for instance, rely heavily on real-time data collected by mobile networks. To turn its vision into reality, the government must focus on specific regulatory levers: planning reform, the reinvestment of Annual Licence Fees, and building safety.

Matching ambition with action on planning reform

First, the ambition shown in the Delivering AI Growth Zones strategy must be matched with targeted reforms for the telecoms sector. The government correctly identified that leading in AI requires cutting red tape and designating data centres as Nationally Significant Infrastructure Projects. This ambitious and agile logic must apply to the physical networks carrying that data.

To support digital services, the UK needs dense, high-capacity mobile networks. We need Permitted Development Rights reform that mirrors the boldness of the AI strategy, allowing for taller, more capable infrastructure without bureaucratic delays.

Furthermore, we must address the Notice to Quit regime. As landowners redevelop properties to get Britain building, mobile operators are often forced from rooftop sites. The current system leaves insufficient time to find replacement sites, creating coverage not-spots in economically active areas. Prioritising investment in the planning system to resolve this is essential.

Reinvesting Annual Licence Fees to unlock growth

Second, we must address the fiscal burden currently placed on the industry through Annual Licence Fees. Mobile operators currently pay hundreds of millions of pounds annually to the Treasury in licence fees – monies that leave the sector rather than being spent on the infrastructure the country needs.

While these fees were originally intended to encourage the efficient use of spectrum, they have become, in effect, a tax on the industry. With spectrum now fully allocated and utilised to meet surging data demands, this recurring cost serves only to drain vital capital from network deployment budgets.

The government should reform this regime to allow the industry to reinvest these fees directly into network rollout where the commercial case is challenging but where there is public benefit, such as eliminating 4G not-spots. This would be a fiscally neutral lever that directly supports the Prime Minister’s mission for growth without requiring new public spending.

Managing unintended consequences of the Building Safety Act

Finally, the unintended consequences of the Building Safety Act must be addressed. The industry supports the Act’s safety goals, but its current cumbersome implementation is halting vital digital upgrades. New requirements for the Building Safety Regulator have created a bottleneck, catching routine telecoms work in a slow-moving administrative process designed for major construction.

Urgent resources and clarity are needed. Without a streamlined process for notifications and approvals, we risk missing mobile deployment targets.

A partnership for growth

The mobile industry is ready to build. We operate within a landscape of strong competition, providing customers with some of the lowest prices in Europe. We have covered 95 per cent of the UK’s landmass with 4G and are eager to push further with 5G. But we cannot do it with one hand tied behind our backs. By reforming planning, allowing the reinvestment of licence fees, and smoothing the edges of the Building Safety Act, the government can unlock the connectivity required to power its housing and AI ambitions.

This article can be read in full on the Politics Home website here.

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