BT creates standalone international unit as strategic restructuring continues 

News 

BT Group is carving out its remaining international operations into a new standalone division, according to a recently published article from the Financial Times

 The move is designed to simplify the business and sharpen focus on its core UK market. 

The new unit will employ over 8,000 staff and operate independently from BT’s domestic business. It will be led by Bas Burger, previously CEO of BT’s Business division. 

The decision is the latest in a series of steps to reduce BT’s global footprint. The company has already exited several international markets, including the recent sale of BT Italia to Retelit and the divestment of its Irish business to Speed Fibre Group. 

Creating a separate division will also mean that BT’s international operations will report earnings independently for the first time. The added transparency will make it easier to assess the unit’s performance, and is often a precursor to a potential sale, spin-off, or merger. 

In an internal memo to employees, BT said the restructure would give the company “the best chance of success” in domestic and international markets as competitors continue to “gain strength”. 

The restructuring aligns with BT’s broader cost-cutting strategy under CEO Allison Kirkby, who took the helm in February last year.  

Last May, the company said it had hit its target to save £3 billion by 2025 a year early, with much of this total being driven by the company’s ongoing job cutting programme that will see 55,000 jobs eliminated by the end of the decade.    

Kirkby now says it will aim to repeat this, cutting a further £3 billion in costs by 2029.    

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Author: Ernestro Casas -

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