Iain Vallance, chairman of BT, confirmed the company would go ahead with plans to wire up the nation?s schools for free, despite threatening the government with legal action if BT is subject to a windfall tax.
BT struck a deal with the Labour party in 1995, under which BT would spend #1 billion linking schools to the information superhighway. In return, a Labour government would lift a Tory-inititated ban on BT providing entertainment services over its network. However, the pact was under threat last week when Vallance warned he would mount a legal challenge against the government if BT were slapped with a windfall tax bill.
A BT spokesperson said: ?We have no intention of taking the bat and ball away - the deal is very much on. People will begin to hear more about it in the weeks to come.?
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