The UK risks being overshadowed by China

18 Jun 19

John Thornton asks if the recent fears around security after the Huawei leak highlight a slippery slope for the UK as a world power.

 

When the Daily Telegraph reported a leaked decision by the National Security Council to allow Chinese firm Huawei to help build the UK’s 5G network, there was an understandable outcry.

The NSC is the primary forum where the intelligence agencies, GCHQ, MI6 and MI5, share secret information with ministers, and this is believed to be the first major leak from the NSC since its inception in 2010. The leak followed a series of other cabinet leaks that are all thought to be tactical positioning by contenders for the Tory leadership.

The introduction of 5G fifth-generation mobile networks is hugely important for the UK (see Technology Watch, March 2019), and security is paramount. The US and Australia claim Huawei is a security risk because of its ties to the Chinese state, and have blocked the company from their networks.

The US has also said it may withhold intelligence from the UK if Huawei is involved in the 5G network, threatening the Five Eyes intelligence alliance.

This is not a new problem for the UK. In 2013, the Intelligence and Security Committee reviewed foreign involvement in the UK’s critical national infrastructure. It noted that Huawei, working with BT, first became involved in CNI networks in 2003, and said the “committee was shocked that officials chose not to inform, let alone consult, ministers on such an issue”.

It also pointed out that most telecommunications companies source equipment that has been manufactured or developed in China. Plus, China requires its own networks to be manufactured solely by Chinese-controlled companies.


'In 2013, the Intelligence and Security Committee reviewed foreign involvement in the UK’s critical national infrastructure. It noted that Huawei, working with BT, first became involved in CNI networks in 2003, and said the “committee was shocked that officials chose not to inform, let alone consult, ministers on such an issue”.'


Huawei is the largest manufacturer of telecommunications equipment in the world, the second-largest manufacturer of smartphones and probably the world leader in 5G. The reality is that its equipment is already deeply embedded in our networks. If we wanted to exclude it, we should have made that decision in 2013. This is, however, symptomatic of a bigger issue for the UK.

In 2013, while MPs were discussing how best to handle Huawei, Chinese president Xi Jinping announced the Belt and Road Initiative – a 21st-century silk road, representing an ambitious programme to connect Asia with Africa and Europe via land and maritime networks. It includes 71 countries that account for half the world’s population and a quarter of global GDP.

It is expected to cost over $1trn (£760bn), with Chinese firms building roads, railways and docks across the globe. It also includes plans to set up international courts in China to resolve related commercial disputes. Although it’s not without critics, the initiative fuses together commerce, infrastructure and soft power.

By contrast, in 2013, then prime minister David Cameron proposed a referendum on leaving the EU. Since then, it is hard to name any big UK achievements. Successive governments have not had the bandwidth to think or act strategically and have largely retreated from the world stage.

The UK, as the fifth largest economy, was once a world power that helped shape events and drive economic development. The NSC leak illustrates our current short-term thinking and inwardly focused politics. Where are our big plans for the future?

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