Chancellor unveils £100 billion commitment to recovery
The government has promised to invest in UK infrastructure including building new school and the hospitals it announced last year to help stimulate the recovery from Covid-19.The plans were unveiled as part of the one year Spending Review presented by the chancellor Rishi Sunak.
The Spending review announced the next phase of the government’s infrastructure revolution with £100 billion of capital expenditure next year, to kickstart growth and support hundreds of thousands of jobs. It gives multi-year funding certainty for select projects – such as school and hospital rebuilding, housing and transport schemes – and targets additional investment in areas which will improve the UK’s competitiveness in the long-term, backing new investments in cutting-edge research and clean energy sources
Rain Newton-Smith, CBI Chief Economist said: “A new National Infrastructure Bank, long-term funding for innovation, and a comprehensive plan for creating jobs and renewing skills are just some of the building blocks needed to deliver on this vision. It’s right to take this opportunity to plan for tomorrow.
“But ambition must be matched by action on the ground. The Government’s commitment to build, build, build must be delivered now. This means a clear strategy to upgrade the UK’s infrastructure and publishing the Energy White Paper.”
Simon Rowland, Partner and Head of Construction and Engineering, at law firm Womble Bond Dickinson said: “The Construction industry is responding better than expected to the difficulties caused by the pandemic, as well as having to deal with the challenges of preparing for the end of the Brexit Transition Period next month. One of the keys to unlocking the potential from these investments will be the need for all parties in the construction process to collaborate and innovate.”
The Construction Products Association’s Economics Director, Professor Noble Francis, said: “Together with the spring 2021 launch of a new National Infrastructure Bank, we have reason to be encouraged that government is taking real steps, beyond simple headlines, in delivering an infrastructure sector that truly underpins UK construction and the wider economy.”
Brian Berry, Chief Executive of the FMB, welcomed investment in apprenticeships and training: “SMEs train 71% of apprentices in construction and are ready to help support new jobs in the sector. While the confirmation of funding for further education, £375m through the life time skills guarantee, and a particular reference to apprenticeship changes to help SMEs are all steps in the right direction, colleges will need more support if we are to cover the existing gaps in traditional construction skills like bricklaying, let alone train people in much needed green construction techniques.”
