The warning from Chris McIntosh, a former lieutenant colonel in the Royal Signals and current chief executive of ViaSat UK, follows an invitation from George Osborne to Chinese companies to run UK nuclear reactors.
"What we have done in Britain is to have identified parts of our infrastructure as critical but not invested in them … Outsourcing to someone else not just makes them more vulnerable to cyber-attacks but allows the new owners to either invest or switch systems off. Would we consider outsourcing the army to China, or Germany or France?"
McIntosh said it was "ridiculous" to spend billions of pounds on building up an arsenal of frigates and fighter aircraft only for Britain to neglect an equally vital job of keeping the lights on in the home ports.
He believed that ministers should look at different funding models for ensuring the UK had enough nuclear or other power stations under local control.