Civils contractors have said that today’s Spending Review represents a ‘significant milestone’ towards building a stronger, future-ready UK economy.
Chancellor of the Exchequer Rachel Reeves MP unveiled plans to ramp up multi-year capital investment to deliver growth, including:
- A central commitment of £113 billion investment over the rest of this Parliament focussed on transport, energy, housing, defence, and innovation
- £15 billion in major transport improvements across the North and Midlands
- £14.2 billion for new nuclear energy at Sizewell C and over £2.5 billion for small modular reactors (SMRs)
- R&D investment rising to a record high of £22 billion per year the end of this Parliament
- A series of investments in Britain’s railways, including an additional £3.5 billion for the TransPennine route upgrade, £2.5 billion for the continued delivery of East West Rail, and a commitment to set out plans for Northern Powerhouse Rail
- An extra £1.2bn to be invested in training and apprenticeships.
Commenting, chief executive of the Civil Engineering Contractors Association (CECA) Alasdair Reisner said: “Today’s announcements show that the UK Government is serious about its growth agenda and will press ahead with targeted investments that deliver results while facing fiscal realities head on.
“The Spending Review confirms the Government’s ambitions to confront decades of underinvestment in infrastructure.
“In part this will be achieved by the Chancellor’s decision to re-write Treasury spending rules to prioritise economic growth in all parts of the UK – a rebalancing of the economy that CECA has long campaigned for.
“The capital investment announced by the Chancellor offers a once-in-a-generation opportunity to revitalise UK infrastructure sector, reinvigorate its supply chains, and create thousands of highly skilled, high-paying jobs.
“CECA members look forward to working with the Government to convert promises into progress via rapid, well-governed project delivery, backed by robust support for contractors of all sizes, and built on a step-change in infrastructure skills development in all parts of the UK.
“The investment announced today goes alongside a ten-year infrastructure plan that is set to be published in the coming weeks.
“We have been working closely with our members to ensure that this plan meets the needs of businesses and the communities they serve, and that the UK’s infrastructure sector can act as the backbone of a stronger, more resilient, and greener economy for the benefit of us all.”
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