Huawei says banning equipment from UK 5G networks to cost london $8.7Bln

UK Secretary of State for Digital, Culture, Media and Sport Jeremy Wright said on Monday that London had postponed its decision to use Huawei's equipment to develop nationwide 5G infrastructure in the future. He noted that the government had to first study the impact US sanctions were having on the telecom giant.

"Evidence shows excluding Huawei would cost the UK economy £7 billion and result in more expensive 5G networks, raising prices for anyone with a mobile device," the company said on Twitter.

According to the statement, the company is confident that it can continue "to work with network operators to roll-out 5G and full fibre broadband networks across the UK."

A UK parliament select committee said earlier in July that it had found no technological reasons for completely banning Huawei equipment from 5G development.

Huawei has repeatedly stressed its eagerness to develop 5G projects with many countries across the globe. However, the company at the same time faces resistance from the US administration, which has maintained that the company has ties with the Chinese government and spies on its behalf. Huawei has repeatedly refuted all the allegations.

In April, outgoing UK Prime Minister Theresa May approved Huawei's bid to help develop the nation's 5G network despite warnings that the telecom giant posed a threat to national security. Media then reported, citing sources, that Huawei would be granted restricted access to build non-core infrastructure, such as antennas, in the country without access to the most sensitive areas of the national communications network.

The US government, which blacklisted Huawei in May, restricting the company's access to the purchase of US hardware, has called on its allies to exclude the company from their plans to establish 5G networks.