Ten-year infrastructure strategy seeks to boost UK attractiveness and productivity

HM Treasury’s UK infrastructure: a ten-year strategy has set out a new approach to delivering infrastructure across the country. The policy, issued last week, committed the Government to at least £725bn of funding over the next decade, and, for the first time, to united economic (transport, energy, water and wastewater, waste, digital and flood risk management) and housing/social infrastructure (hospitals, schools and colleges, and prisons and courts) in one place.

In addition, the strategy sought to unlock more private investment to support public funding — including the quadrupling of enhancement funding in water across AMP8 and support for nine new reservoirs — through institutional reform, the provision of certainty and the removal of barriers. 

The new National Infrastructure and Service Transformation Authority (NISTA) will oversee implementation of the strategy and report on progress every two years. A new online Infrastructure Pipeline portal will go live in July, setting out details of the full range of projects to be taken forward.

Chief secretary to the Treasury, Darren Jones, reasoned: “After years of erratic decisions, false promises and squeezed capital investment, the UK has fallen behind competitor countries, with productivity falling behind countries such as France, Germany, and the United States. 

“Our goal is to prove to investors that the United Kingdom is not just one of many countries seeking investment, but a country that you can believe in. A country with a government that will roll up its sleeves to make it easier to build, with a clear long-term strategy that gives confidence and certainty in our Plan for Change.” 

The strategy noted: “The Government is conscious that it can’t do everything at once – because of the inherited position of our infrastructure, the fiscal constraints we are working under and capacity in the supply chain. But through our Strategy, our long-term approach and our willingness to reform the system, we will start to turn the corner and deliver the change we promised the UK.” 

• The Government’s Industrial Strategy is expected to be published today (Monday), providing more information on the national renewal policy. 

• Ofwat is consulting until 7 July on changes to the approach it will take in AMP8 to large water schemes (those valued at £100m+ or where there are significant concerns around scope, cost, deliverability, complexity, or if schemes involve novel elements or complex technologies). This includes alterations to the timing, review and penalty arrangements previously set out.