Former BP boss Lord Browne to step down as Huawei UK chair
Lord John Browne has resigned as UK chairman of Huawei, ahead of an expected ban on the telecoms provider to be announced later today.
He will step down from the board in September, ending his tenure seven months early.
Culture secretary Oliver Dowden is expected to tell MPs this afternoon that the government will ban the use of Huawei’s equipment in UK 5G networks, in a U-turn on an earlier decision.
Prime Minister Boris Johnson in January placed a 35 per cent cap on Huawei’s UK market share, amid rising security concerns about the Chinese technology giant.
The US has pushed Johnson to reverse his January decision to grant the firm a limited role, while Westminster has been dismayed by a crackdown in Hong Kong and the perception China did not tell the whole truth over the coronavirus.
The immediate excuse for the about turn in policy is the impact of new US sanctions on chip technology, which MPs have said will affect Huawei’s ability to remain a reliable supplier.
A trio of executives remain on Huawei’s UK board, including former BT chairman Mike Rake, Sir Andrew Cahn and Sir Ken Olisa.
A Huawei spokesperson said in a statement this morning: “When Lord Browne became chairman of Huawei UK’s board of directors in 2015, he brought with him a wealth of experience which has proved vital in ensuring Huawei’s commitment to corporate governance in the UK.
“He has been central to our commitment here dating back 20 years, and we thank him for his valuable contribution.”
BT chief executive Philip Jansen warned MPs earlier this week that a total ban on Huawei could cause severe service outages in the UK, with the costs of removing its equipment to run in the “billions” of pounds.