Australia's intelligence and security agencies will assess Britain's decision to allow Chinese company Huawei into its 5G network, amid uncertainty over what the move means for the "Five Eyes" intelligence-sharing arrangement.

There is also growing concern within the Australian and US governments that Boris Johnson's decision could encourage other countries, including Germany and India, to follow Britain's lead in allowing Huawei into their next-generation networks.

Britain's decision to allow Huawei to take part in the construction of its 5G network has raised concerns in Canberra. Credit:Bloomberg

The Australian government will let the US take the lead in assessing the consequences of the British Prime Minister's decision to defy Washington's warnings in granting the telecommunications giant a limited role in the 5G rollout.

The Morrison government on Wednesday did not comment on Britain's decision, which comes after Canberra and Washington banned Huawei from participating in their networks because of concerns over the security of sensitive information.