BT's new chief executive Ben Verwaayen today unveiled his long-awaited strategy to control costs, cut debt and drive growth.

Mr Verwaayen said his three-year strategy was to focus on "customer satisfaction" and "financial discipline" at the telecoms group.

He said: "We will neither grow for growth's sake, nor cut costs as an end to itself."

The group said high-speed broadband internet would be at the heart of BT.

To drive this, it is to launch a product connecting customers direct to the internet without first going through a service provider.

BT plans to drive down costs in sales and administration in its BT retail division by £175 million next year, and make savings of £200 million in its wholesale division.

Part of the cost savings would be achieved through job cuts, although the company said these had been announced before.

Mr Verwaayen, who took up his post on February 1, also ruled out flotations and said the group would not be pursuing acquisitions.

The new strategy follows BT's major upheaval last year as it counted the cost of its overseas expansion and was rocked by the global economic slowdown.

It was forced to launch a £5.9 billion rights issue, and sell its Yellow Pages arm and a swathe of international interests to tackle its debts.