MILLIONS of mobile phone users face being plunged into a digital dark age with rationed data and surge pricing at peak times.
Some of Britain’s biggest networks have warned they may be forced to throttled speeds and hike costs after being frozen out of a massive Government energy relief scheme.
Chancellor Rachel Reeves snubbed the telecoms sector in the latest extension of the British Industrial Competitiveness Scheme (BICS), leaving firms to face the full force of energy prices driven sky-high by the war in Iran.
The multi-billion pound scheme acts as a taxpayer-funded lifeline to stop 10,000 energy-hungry businesses from going bust by giving them a 25 per cent discount on their electricity bills.
However, telecoms giants including VodafoneThree, Virgin Media O2 and BT-owned EE have been left to rot despite consuming just under one terawatt-hour of electricity each year.
That is enough juice to power 370,000 homes.
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Industry sources have said the exclusion is a “serious oversight” that ignores the fact that mobile networks are officially classed as critical national infrastructure.
The crisis is being fuelled by the ongoing conflict in the Middle East, which experts fear could see energy commodity costs double or even triple in the coming months.
The price of electricity has already risen by 33 per cent since the start of the war in Iran.
Unlike factories that can power down at night, mobile networks must run 24/7 to support emergency services and the economy, meaning they cannot “flex” their demand to cheaper off-peak times.
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Desperate telecoms bosses are now being forced to draw up contingency plans for worst-case scenarios which include running the network at lower capacity to slash energy use, The Telegraph first revealed.
This could lead to rationing access for customers or introducing new pricing mechanics where Brits are forced to pay extra for access during peak times.
Operators may look at offshoring call centres to offset the eye-watering UK power bills, just as many were starting to bring those jobs back to Britain.
Future growth is also under threat as firms review 5G network roll-out plans, a move that could have a massive impact on jobs across the entire country.
One major network warned that around 9,000 engineering, construction, and maintenance roles would be placed at risk if its investment plans are stalled by these eye-watering costs.
Experts believe this improved connectivity is the “backbone” for small businesses and the future of AI, with the potential to add £6.6billion a year to the UK economy.
However, industry insiders warn that failing to shield networks from the energy crisis today will erode British innovation and national resilience for decades to come.
A spokesman for VodafoneThree said: “We are disappointed that the Government has chosen not to include the telecoms sector in the British Industrial Competitiveness Scheme.
“We urge the Government to consider the impact of rising energy prices on the vital telecoms sector that unlocks growth in all parts of the economy.”
A Virgin Media O2 spokesman added: “If the Government wants growth, productivity and resilience, it cannot overlook the digital networks the country depends on.”
It added that O2 is not considering rationing, throttling or any surcharges.
UK law and Ofcom rules say phone and broadband companies must keep their networks up and running and be able to cope with disruption.
A Government spokesperson said: “UK communications providers must legally maintain network availability.
“Our clean power mission will get us off the rollercoaster of fossil fuel prices, to cut bills for businesses and households for good.”
A BT Group spokesperson said: “Our focus is on our customers and we have no current plans to ration access to our award-winning EE network, reduce speeds or introduce surge pricing.”
Meanwhile, European officials have warned that summer holidays are under threat as the war involving Iran drives up jet fuel prices and puts pressure on airline supplies.
EU energy commissioner Dan Jorgensen said yesterday that it was “very likely” many travellers would face flight cancellations or eye-watering fares if the Strait of Hormuz remained closed.
He said Europe was still dealing with a price crisis rather than a full-blown supply shortage, but admitted that the situation could worsen quickly.
The International Energy Agency has warned that serious disruption could hit within the next five to six weeks.
Airlines are already taking action.
Lufthansa has cut 20,000 flights from its summer schedule, while other carriers are raising ticket prices to cope with soaring fuel costs.
In Britain, airlines have urged the Government to come forward with an emergency jet fuel plan to avoid a summer of travel chaos.
Airlines UK, whose members include British Airways, Virgin Atlantic and easyJet, said ministers must prepare now for possible shortages if widespread disruption is to be prevented.
