BT Group ECONOMIC

Research cut-off: 22 September 2026.

Supply Chain & Sourcing Relationships

Direct supplier relationships

BT’s current business description is telecommunications, connectivity and digital services rather than food or agricultural retail, and its responsible-sourcing disclosures describe a broad supply base covering products and services such as network and IT hardware rather than a fresh-produce supply chain.^{1, 2, 3} Targeted searches of BT’s FY25-FY26 disclosures, responsible-sourcing materials and the authoritative Israel/settlement sources reviewed for this audit identified no public evidence of direct procurement from Israeli agricultural aggregators or exporters such as Mehadrin, Hadiklaim, Galilee Export or Agrexco successors, and no identified sourcing of Medjool dates, avocados, citrus, herbs or potatoes.^{4, 5, 6, 3}

Importer-of-record structure

BT’s FY25 and FY26 related-undertaking schedules identify B.T. Communication Israel Ltd as a wholly owned Israeli group company, but do not describe it as an importer of record, purchasing company or physical-goods import vehicle.^{4, 5} no public evidence identified of a BT-owned, joint-venture or dedicated importer-of-record entity handling Israeli- or settlement-origin physical goods.^{4, 5, 3}

Seasonal sourcing

No public evidence identified of recurring seasonal procurement by BT from Israeli agricultural suppliers, including counter-seasonal December-April sourcing. The absence finding is limited to the public BT sourcing disclosures, FY25-FY26 financial materials and Israel-focused sources reviewed; BT’s public sourcing framework does not publish a complete supplier-by-country ledger.^{4, 5, 2, 3}

Third-party and indirect sourcing

[pre-2020] Bezeq’s 2004 periodic report recorded a BT service-distribution relationship in Israel and described British Telecom as a major foreign telecommunications operator by traffic volume and cost.⁷ [pre-2020] BT’s 22 March 2011 company response described Bezeq International as one of more than 100 BT Alliance partners globally, each working with BT Global Services to provide telecommunications and IT services to multinational companies.⁸ These are service distribution/channel relationships, not evidence that Israeli-origin physical products reached BT retail shelves or that BT sourced agricultural goods through Bezeq.^{7, 8}

No public evidence identified in the current source set confirming that the historical BT-Bezeq Alliance arrangement remains in force in 2026.^{9, 8, 10} Bezeq’s current infrastructure disclosures establish Bezeq International TECH’s own international-connectivity role, but do not identify BT as a current channel partner or traffic customer.¹⁰

Product Origin, Labeling & Regulatory Compliance

Settlement-origin products

No public evidence identified of BT selling agricultural or consumer goods labelled “Produce of Israel,” or of BT selling goods publicly identified as originating from Israeli settlements in the West Bank, East Jerusalem or Golan Heights.^{1, 6, 11} BT’s published business model and current sourcing materials concern telecommunications, network equipment, IT and service supply chains rather than a grocery or produce assortment.^{1, 2, 3}

Labeling compliance and enforcement

No public evidence identified of a DEFRA, UK customs or other public enforcement action against BT concerning country-of-origin labelling of settlement-produced goods.^{1, 2, 3} This finding is limited to the targeted public-record searches conducted for this audit and does not establish the absence of any non-public compliance issue.

Corporate labeling and occupied-territory sourcing policy

BT’s August 2026 Human Rights Policy states that its supply chain is large and complex, that it buys products and services including network and IT hardware, and that it applies responsible-sourcing and human-rights due diligence to suppliers and business relationships.² Its June 2026 Modern Slavery Statement describes supplier risk assessment, due diligence, and 50 on-site, remote, or third-party supplier assessments during FY2025/26.³ no public evidence identified of a BT policy specifically addressing country-of-origin labelling for Israeli settlement goods or a dedicated sourcing prohibition for occupied territories.^{2, 3}

Authoritative settlement-source check

The current OHCHR settlement-business database is A/HRC/60/19, dated 26 September 2025.⁶ Targeted review of that database identified Bezeq, the Israeli Telecommunications Corp. Ltd. in Annex I, while no entry was identified for BT Group plc or B.T. Communication Israel Ltd.⁶ Targeted review of A/HRC/59/23 likewise identified no named BT Group plc or B.T. Communication Israel Ltd finding in the report.¹¹ These are document-scoped absence findings, not proof that no indirect economic relationship exists.

Who Profits’ current Bezeq profile reports settlement-related services by Bezeq-group entities, including Bezeq International central-phone communications for the Israeli Civil Administration between March and December 2024 worth NIS 248,957, and other Bezeq-group communications services to the Civil Administration and COGAT.¹² That evidence concerns Bezeq and its subsidiaries. No public evidence identified that B.T. Communication Israel Ltd or another BT entity supplied the cited Civil Administration, COGAT or settlement services.¹²

Investment, Capital & Financial Exposure

Direct Israeli investment and controlled subsidiaries

BT’s FY25 financial statements listed B.T. Communication Israel Ltd, Beit Oz, 14 Abba Hillel Silver Rd, Ramat Gan, Israel, as a 100%-owned ordinary-share group undertaking.⁴ BT’s FY26 audited financial statements repeated the same entity, address and 100% ordinary-share interest as of 31 March 2026.⁵ BT’s global privacy-controller list separately identifies B.T. Communication Israel Ltd at the same Ramat Gan address.¹³

Those records establish a continuing wholly owned Israeli legal entity through FY25 and FY26; they do not establish whether the subsidiary was actively trading in either year.^{4, 5, 13} no public evidence identified in the targeted FY25-FY26 searches of an Israel-specific revenue figure, employee count, operating-profit figure, current service description or formal dormant-company declaration for B.T. Communication Israel Ltd.^{4, 5, 13, 9} The examiner-bound finding is therefore: the entity remained 100% owned by BT in FY25 and FY26, but current operation versus dormancy is unresolved on the public evidence located.^{4, 5}

No public evidence identified of an acquisition date or purchase price for B.T. Communication Israel Ltd, or establishing whether it was acquired from a third party rather than formed within the group.^{4, 5} no public evidence identified of manufacturing by B.T. Communication Israel Ltd, or of a BT-owned Israeli factory, logistics hub, data centre or R&D/innovation centre.^{4, 5, 9}

Israeli-Nexus factors

[pre-2020] BT Group plc was incorporated in England and Wales on 30 March 2001 and remains an active UK public limited company with its registered office in London.¹⁴ BT’s current group description presents the business as a UK-headquartered telecommunications group organised around Consumer, Business, International and Openreach, supported by Digital and Networks.¹ no public evidence identified that BT Group itself was founded in Israel, has its headquarters or principal place of management in Israel, is Israeli-tax-resident, holds Preferred Technology Enterprise status, or is beneficially controlled by Israeli capital.^{4, 5, 15, 16, 14}

Deutsche Telekom/T-Mobile: BT holding and Teridion

[pre-2020] BT’s EE acquisition documentation records that T-Mobile Holdings Limited, an entity within the Deutsche Telekom group, received 1,196,175,322 BT shares, approximately 12% of BT’s issued share capital.¹⁷ [pre-2020] The 23 March 2018 voting-rights notification recorded a 12.06% position and transfer into Deutsche Telekom’s pension-trust structure while stating that the Deutsche Telekom group retained control of the voting rights.¹⁸ BT’s FY26 corporate-governance report continued to show T-Mobile Holdings at 1,196,175,322 shares / 12.06%, based on that notification, and said BT had received no further DTR notice by 20 May 2026.¹⁵

Deutsche Telekom’s 2021 annual report described the Telekom Innovation Pool (TIP) as its strategic investment fund, advised by DTCP, and listed Teridion among four new corporate investments made that year.¹⁹ On 7 November 2022 Deutsche Telekom said it had extended its strategic investment in Israel-based Teridion Technologies Ltd. through an additional $25 million equity investment, identified Teridion as headquartered in Ra’anana, and said Deutsche Telekom executive Matthias Budde joined Teridion’s board.²⁰ Deutsche Telekom’s 2023 annual report continued to describe the Teridion partnership and investment.²¹

The latest directly retrievable statutory ownership table retained for this audit records Teridion Technologies Ltd., Ra’anana, as a 32.34% indirect Deutsche Telekom holding at 31 December 2024.²² Deutsche Telekom’s current M&A page, available in 2026, continues to list the Teridion transaction as an expansion of a strategic stake by a $25 million capital investment and does not identify a disposal.²³ The supported examiner-bound finding is therefore that Teridion remained a material strategic minority holding on the latest directly retrievable statutory percentage in this source set; the original strategic investment vehicle/programme was TIP, advised by DTCP.^{23, 19, 22}

Other Israeli investments by 10%+ BT shareholder groups

[pre-2020] Deutsche Telekom’s 2018 annual report records a strategic investment in Axonize, expressly describing it as an Israeli start-up specialising in Microsoft Azure-based IoT services.²⁴ In 2020 Deutsche Telekom’s annual report stated that TIP made five new corporate investments, including Cynet and vHive.²⁵ Contemporary reporting identified Cynet as an Israeli cybersecurity start-up and Deutsche Telekom as a strategic investor in its $18 million Series B+ round.²⁶ vHive’s October 2020 financing announcement stated that a $4 million Series A extension was led by TIP, Deutsche Telekom’s strategic investment fund advised by DTCP.²⁷ These investments were made during the period in which the Deutsche Telekom group’s notified BT voting-rights position exceeded 10%.^{15, 18}

The 2020 Deutsche Telekom report distinguishes TIP strategic corporate investments from broader DTCP growth-equity investments.²⁵ This audit therefore does not attribute every DTCP-managed fund investment to Deutsche Telekom alone where third-party investor capital may also be present.

Bharti Global announced on 12 August 2024 that wholly owned Bharti Televentures UK Ltd would acquire about 24.5% of BT, with approximately 9.99% acquired first and the remaining approximately 14.51% subject to regulatory clearance; Bharti stated that the BT investment was not connected to Bharti Airtel Limited or its subsidiaries.²⁸ The UK Government’s final order records acquisition of the 24.5% interest, with 9.99% acquired on 12 August 2024 and the further 14.51% on 18 November 2024.¹⁶ Bharti therefore became a 10%+ BT shareholder from the second tranche in November 2024.¹⁶

No public evidence identified in targeted Bharti Global/Bharti Enterprises portfolio searches of a separate Israeli-domiciled equity investment made by the Bharti shareholder group during its post-November-2024 10%+ BT holding period.^{29, 30} Bharti Global’s public portfolio highlights OneWeb/Eutelsat, hospitality and investment activity through Unbound, while Bharti Enterprises’ strategic-investments page does not identify an Israeli equity holding.^{29, 30} This is a public-source absence finding and does not rule out indirect fund exposure or non-public investment.

Portfolio, sovereign-debt and financing exposure

No public evidence identified of BT Group or B.T. Communication Israel Ltd holding Israeli sovereign bonds, an Israel-focused investment fund, or a disclosed passive portfolio position in Israeli-domiciled companies.^{4, 5} no public evidence identified of BT underwriting Israeli sovereign debt or war bonds, selling Israel Bonds, insuring Israeli state or military operations, or directly lending to Israeli defence primes.^{4, 5, 1} BT’s current corporate materials describe it as a telecommunications and digital-services group, not a bank, asset manager or insurer.¹

Operational Presence & Market Activity

Physical footprint and operating status

BT maintained a 100%-owned Israeli group entity at the Ramat Gan address in both FY25 and FY26, and the same entity appears on BT’s controller list.^{4, 5, 13} These records establish corporate presence, but the public sources located do not resolve whether the entity was actively trading or dormant in FY25-FY26.^{4, 5, 13}

No public evidence identified of another current BT-owned office, support centre, warehouse, retail outlet, factory or data centre in Israel or the occupied territories beyond the Ramat Gan legal-entity address.^{4, 5, 9}

Employment, tax and regulatory registration

No public evidence identified of the current employee count, Israel-specific revenue, Israel-specific operating profit, Israel-specific tax paid or Israel-specific telecom licence status of B.T. Communication Israel Ltd.^{4, 5, 13, 9} BT’s group tax strategy states that it seeks to pay the right amount of tax at the right time in the countries where it operates and describes taxes paid as contributions to local economies, but it does not publish an Israel-specific amount.³¹

Historical Israel channel activity and current status

[pre-2020] Bezeq’s 2004 periodic report recorded a BT service-distribution relationship in Israel.⁷ [pre-2020] BT’s 2011 response described Bezeq International as a BT Alliance partner working with BT Global Services to serve multinational companies.⁸ no public evidence identified in the current BT International or Bezeq materials reviewed confirming that this historical BT-Bezeq channel arrangement remained in force in 2026.^{9, 10}

Bezeq’s 2024 ESG disclosure states that Bezeq International TECH’s JONAH submarine cable carries about 35% of Israel’s internet traffic and provides infrastructure enabling global companies to operate in Israel and Israeli companies to connect internationally.¹⁰ That current Bezeq infrastructure evidence does not establish that BT traffic uses JONAH or that BT remains a Bezeq channel partner.¹⁰

Market positioning

BT currently describes International as serving multinational organisations and overseas public-sector customers, but its public International materials do not identify Israel as a separately reported strategic growth market, regional hub or material revenue market.⁹ no public evidence identified of a current BT investor presentation or annual-report disclosure separately quantifying Israel as a market.^{4, 5, 9}

Corporate Structure & Foundational Ties

Founding, domicile and group structure

[pre-2020] BT Group plc is an England-and-Wales public limited company incorporated on 30 March 2001, with its registered office in London.¹⁴ BT’s current corporate materials describe Consumer, Business, International and Openreach as its customer-facing businesses, supported by Digital and Networks.¹ The Israeli nexus identified in this audit is therefore a wholly owned subsidiary and historical/current shareholder-group investments, not Israeli founding or headquarters of BT Group itself.^{4, 5, 14, 1}

Major shareholders and governance

BT’s FY26 corporate-governance report records the notified T-Mobile Holdings/Deutsche Telekom position at 12.06%, while the UK Government records Bharti Televentures UK’s acquisition of 24.5% in 2024.^{15, 16} BT’s current board page lists Adam Crozier as Chairman, Allison Kirkby as Chief Executive and Sunil Bharti Mittal as a non-independent non-executive director.³²

No public evidence identified of an Israeli state ownership stake in BT Group, an Israeli government-appointed BT director, an Israel-specific golden share, founder share, charter restriction or comparable governance mechanism tying BT Group’s corporate mission to the Israeli state.^{15, 16, 14, 32} Targeted searches also identified no material personal/family-office Israeli operating-company investment by the current BT Chair or Chief Executive in the source set retained for this audit.³²

State, institutional and settlement linkages

The current OHCHR A/HRC/60/19 database lists Bezeq in Annex I for settlement-related activities; targeted review identified no BT Group plc or B.T. Communication Israel Ltd entry.⁶ Who Profits separately reports Bezeq-group communications services to the Israeli Civil Administration and COGAT in the occupied West Bank, including post-2023 Bezeq International activity.¹² no public evidence identified that B.T. Communication Israel Ltd or another BT entity supplied those cited services.¹²

A/HRC/59/23 was also checked as an authoritative corporate-economy source; no named BT Group plc or B.T. Communication Israel Ltd finding was identified in the reviewed report.¹¹ BT’s 2026 Human Rights Policy states that the company seeks to integrate human-rights due diligence into its business and supplier relationships and may decide not to proceed with an action where risks warrant it.²

Constructive-notice timing

A/HRC/60/19 records the legal context following the International Court of Justice’s 19 July 2024 advisory opinion concerning the occupied Palestinian territory.⁶ The United Nations daily press briefing of 21 November 2024 recorded that International Criminal Court arrest warrants had been issued for Benjamin Netanyahu and Yoav Gallant.³³ BT’s FY25 and FY26 disclosures show that B.T. Communication Israel Ltd remained a 100%-owned group entity after both dates.^{4, 5, 6, 33} no public evidence identified linking that BT subsidiary itself to settlement operations after either date.^{6, 12}

Profit Repatriation & Economic Contribution

Revenue attribution

No public evidence identified of BT separately disclosing revenue generated in Israel, Israeli operating profit, or revenue attributable specifically to B.T. Communication Israel Ltd.^{4, 5, 9} BT International’s current public materials describe its multinational-customer scope but do not publish an Israel-specific revenue line.⁹

Tax and profit flows

BT’s published tax strategy says the group aims to pay the right amount of tax at the right time in the countries where it operates and treats tax as part of its contribution to local economies.³¹ no public evidence identified of the amount of Israeli corporate tax, payroll tax or other tax paid specifically by B.T. Communication Israel Ltd.^{4, 5, 31}

No public evidence identified of Israel-specific dividends, retained earnings, intercompany distributions or other profit repatriation from B.T. Communication Israel Ltd to foreign BT group entities.^{4, 5} Conversely, no public evidence identified of global BT profits flowing into Israel through Israeli-domiciled controlling ownership, because the parent is UK-domiciled and the identified major shareholder groups are Bharti and Deutsche Telekom-related rather than Israeli capital.^{15, 16, 14}

Economic ecosystem role

No public evidence identified of an independent current assessment designating B.T. Communication Israel Ltd as a key Israeli employer, sector anchor, critical national infrastructure operator or nationally significant telecommunications provider.^{4, 5, 9} Bezeq’s own ESG disclosure describes Bezeq International TECH - not BT’s Israeli subsidiary - as a significant international-connectivity provider via JONAH.¹⁰

Verizon joint venture and possible transfer of the Israeli subsidiary

On 29 June 2026 BT and Verizon announced an agreement to combine their respective international enterprise-connectivity businesses in a 50:50 joint venture, with completion expected in 2027 subject to customary conditions and approvals.^{34, 35} Both companies said their international businesses would continue to operate independently until official close.^{34, 35}

BT separately announced that International, including five non-core divestments made during FY26, would be reported as a discontinued operation until completion of the Verizon transaction.³⁶ BT’s 23 July 2026 Q1 FY27 update still described the Verizon transaction as an agreement and International as a discontinued operation, rather than as a completed joint venture.³⁷ BT International’s current site continued to describe it as a standalone unit within BT plc.⁹

B.T. Communication Israel Ltd was still listed as 100% BT-group owned at 31 March 2026, before the June transaction announcement.⁵ no public evidence identified in the BT/Verizon transaction announcements or subsequent BT update specifically naming B.T. Communication Israel Ltd as an entity whose shares or assets had already transferred to Verizon or to the proposed JV.^{34, 35, 36, 37} The examiner-bound finding as of 22 September 2026 is therefore: no completed transfer of B.T. Communication Israel Ltd is established; the JV remains pending, and the public documents located do not disclose whether this Israeli subsidiary is inside the intended contribution perimeter at closing.^{34, 35, 37}