BT is to cut 55,000 jobs by the end of the decade including replacing around 10,000 workers with artificial intelligence (AI).

The telecoms giant will reduce the size of its workforce by 40pc by the end of the 2030 financial year. 

Chief executive Philip Jansen said the new BT will be a “leaner business with a brighter future”.

Around 25,000 jobs will be cut through a reduction in engineers as the company’s full-fibre rollout comes to an end and old copper networks are shut down.

Roughly 10,000 roles will be replaced by automation as the company embraces artificial intelligence.

Mr Jansen said BT would be a “huge beneficiary” of AI, which he said could save the company hundreds of millions of pounds compared to its old IT systems.

He said: “Yes it has its risks, we’ve got to be very careful, but I personally think it’s going to be as big as the internet and as big as mobile phones. This is a massive change.”