Chinese tech giant Huawei’s equipment will be removed from the UK’s 5G network by 2027 - adding billions to the cost and delaying the delivery of the high-speed mobile network.

The National Security Council took the decision – which is set to increase tensions between the UK and Beijing – after the impact of US sanctions raised concerns about Huawei’s continued involvement in the UK’s 5G infrastructure.

From 2021, telecoms firms will be banned from purchasing new 5G equipment from Huawei.

They will also be ordered to shift away from the purchase of Huawei’s equipment for full-fibre broadband networks over a period lasting up to two years.

The decisions were taken at a meeting of the National Security Council, chaired by Prime Minister Boris Johnson, on Tuesday morning.

It followed an assessment of the impact of US sanctions by experts from the National Cyber Security Centre.

Here is what you need to know about Huawei.

What is Huawei?

Huawei is the Chinese telecoms giant which describes itself as a private company “fully owned by its employees”.

In recent years, its range of smartphones have become commonplace across the UK, and it is now established as one of the biggest smartphone manufacturers in the world, alongside Apple and Samsung.

In addition to making mobile devices, the firm also makes telecommunications networks.

Why is the company controversial?

Huawei has come under criticism over its alleged close ties to the Chinese state.

The country has a history of state censorship and surveillance, such as the “Great Firewall of China” which blocks multiple internet services in the country and, under Chinese law, firms can be compelled to “support, co-operate with and collaborate in national intelligence work”.

As a result, critics of Huawei have expressed concerns that Beijing could require the firm to install technological “back doors” to enable it to spy on or disrupt Britain’s communications network.

The US is a strong critic of the firm and last year President Donald Trump added Huawei to the Entity List, effectively blacklisting the firm and preventing it from trading with US companies.

Consequently, Huawei has not been able to use core Google apps on its newest smartphones as part of the Android operating system it uses to power the devices.

However the firm has always denied any suggestions of close links with the Chinese state or that it has ever been asked by Chinese authorities to help spy on others, insisting it fully abides by the laws of each country in which it operates.

How is it linked to 5G?

As well as its smartphone business, Huawei is one of the market leaders in telecoms infrastructure equipment, including that for 5G.

The next generation of mobile data communications, 5G has been rolling out to areas of the UK for the last year.

The new networks allow for larger amounts of data to be transferred at once, which could one day power new technologies such as autonomous car networks and remote surgery where specialist surgeons cannot reach a hospital physically.

As a result, a great deal of debate among telecoms firms and governments is ongoing over how to secure such a data-sensitive network, which has led to the scrutiny of Huawei.

Here is some further background on what has happened in the UK

In January, before the tough restrictions imposed by US President Donald Trump’s administration, Huawei had been allowed to play a limited role in the 5G network despite concerns that it was a “high-risk” vendor because of its links to the Chinese government.

On Tuesday (July 14, 2020), Culture Secretary Oliver Dowden set out the revised position on Huawei in the Commons, acknowledging that the moves could delay the rollout of 5G by two to three years and potentially add £2 billion to the overall cost.

The Government had faced pressure from Tory backbenchers for a quicker approach to removing Huawei equipment, but Mr Dowden insisted that the changes would mean that, by the time of the next general election – expected in 2024 – the UK would be on an “irreversible path” to a network free from the firm.

When will 5G be rolled out across the UK?

On Tuesday (July 14), Mr Dowden added that January’s decisions to restrict Huawei’s role had added a year to the timetable and cost up to £1 billion.

“Today’s decision to ban the procurement of new Huawei 5G equipment from the end of this year will delay rollout by a further year and will add up to half a billion pounds to costs.

“Requiring operators in addition to remove Huawei equipment from their 5G networks by 2027 will add hundreds of millions of pounds further to the cost and further delay rollout.

“This means a cumulative delay to 5G rollout of two to three years and costs of up to £2 billion.”

The US sanctions were imposed on Huawei in May, banning the firm from access to products which have been built based on US semiconductor technology.

The NCSC concluded that the company will need to carry out a major reconfiguration of its supply chain as it will no longer have access to the technology on which it currently relies and there are no alternatives “which we have sufficient confidence in”.

That means it is impossible to continue to guarantee the security of Huawei equipment in the future, Mr Dowden said.

The UK is braced for the prospect of reprisals from China in response to the announcement.

GCHQ on stand-by for cyber attacks on the UK

GCHQ’s protective signals intelligence network is on stand-by to detect and disrupt any attempt by China to mount cyber attacks on the UK in retaliation for the decision.

Officials say they are already dealing with a sustained high tempo of hostile cyber activity by state-sponsored actors including both China and Russia.

Defence Select Committee chairman Tobias Ellwood said the Government should “expect repercussions from China”.

Tory former Cabinet minister David Jones highlighted China’s ambassador to the UK Liu Xiaoming’s warning of “consequences” if the UK banned Huawei.

Mr Dowden said: “This Government will not be cowed by the comments of any other country.

“This decision has been made in the national security interests of this nation.”

What have Huawei said in response?

Huawei UK spokesman Ed Brewster said the “disappointing decision” is “bad news for anyone in the UK with a mobile phone”.

“We remain confident that the new US restrictions would not have affected the resilience or security of the products we supply to the UK,” he said.

“Regrettably, our future in the UK has become politicised – this is about US trade policy and not security.”

Shadow digital, science and technology minister Chi Onwurah accused the Government of an “incomprehensibly negligent” approach and questioned whether the UK’s security policy is now being led by the US.

“It has been clear for some time that there are serious questions over whether Huawei should be allowed to control large sections of our country’s telecoms networks, yet the Government refused to face reality,” she said.