HC Deb 21 February 1983 vol 37 cc333-4W
Mr. Neale

asked the Secretary of State for Industry whether he is in a position to announce the cellular radio system chosen for the national radio telephone network.

Mr. Kenneth Baker

On 25 June 1982, the Government announced the terms and conditions for two national cellular radio networks as part of their policy of stimulating new market entry in the new growth areas of the telecommunications market to provide the user with comprehensive choice and industry with an opportunity of maximum expansion and export.

Since then the Government, BT and industry have conducted an extensive review of system options and have consulted with key European PTTs and manufacturers. These consultations are continuing and will continue because the Government believe that in this new segment of the market European co-operation can lead to a better European position in world markets.

It is with world markets in mind that the Government decided to endorse the system choice made by BT, Racal Millicom and Sectel and to develop an advanced version of the AMPs system to be know as TACS (Total Access Communication System). I very much hope that in developing this new European system we can work together with those European PTTs prepared to join us and with those parts of European industry already working on this system for world markets.

This has been a difficult decision and I would like to thank in particular the Administrations and suppliers of the Nordic countries, Germany and France for the way in which they made available to the Department of Industry, BT and British industry all the information and specifications necessary for us to make a considered evaluation.

With the system decision now made, Racal Millicom and Sectel are now free to go ahead with their plans to introduce a commercial service by 1 January 1985—the first national service of this particular kind in the world—which could create up to 12,000 new job opportunities in the United Kingdom by 1990.