The Vodafone CEO stated that if the telecom company's £15 billion merger with rival Three UK is blocked, Labour will not be able to fulfill its 2030 pledge of having nationwide access to 5G, which is necessary for next-generation technology like artificial intelligence.

The government stated in its election campaign that the UK was lagging behind other nations in the development and deployment of cutting-edge mobile networks, and that by the end of the decade, nationwide coverage was required.

In terms of 5G availability and download speeds, the UK comes in at number 22 out of 25 European nations, according to study released in February by Opensignal.

The CEO of Vodafone Group, Margherita Della Valle, stated, "Everyone talks about [things like] artificial intelligence; all of these things cannot happen without good networks."

“All policymakers understand now the importance of having good quality networks. Look at Labour’s manifesto, for example … nationwide 5G by 2030. There is no doubt that a catalyst is needed to get there because it’s not going to be done [by the current market].”

Vodafone’s planned merger with its smaller rival Three, which would create the UK’s largest mobile operator with more than 27 million subscribers, is being investigated by the UK competition watchdog.

In April, the Competition and Markets Authority moved to launch an in-depth investigation, citing concerns that reducing the UK’s mobile landscape from four main players to three could result in price rises for consumers.

Last year, the trade union Unite called the deal “terrible”, claiming that mobile phone bills could rise by as much as £300 a year if the merger was approved.

However, Vodafone and Three have said that the combination of the third and fourth largest players in the market is essential to drive investment and compete against the “big two”, the EE owner, BT, and Virgin Media O2, including on competitive pricing.

As part of the takeover, the companies have pledged to invest £11bn over the next decade to upgrade and expand their 5G network.

“It is a really big decision for the UK, a big industrial policy decision,” Della Valle said. “Everyone thinks about the impact on telcos [telecommunications operators]. The reality is our industry is one of a handful that impacts on many other sectors, [on] everyday life. It is critical for economic growth more broadly.”

In 2015, Three UK attempted a £10.25bn takeover of O2, which included a promise to freeze prices in order to gain regulatory clearance.