Chancellor makes infrastructure 'backbone' of industrial strategy

 

Philip Hammond has told MPs he will borrow to provide £23bn of ‘highly targeted’ funding for innovation and infrastructure over five years and signalled increased infrastructure investment from 2020.

In his Autumn Statement on Wednesday, the chancellor repeatedly referred to gaps in productivity, both between the UK and other European countries and between London and the regions.

He announced a ‘National Productivity Investment Fund’ (NPIF) for innovation and infrastructure worth £23bn over five years. The NPIF will be targeted at four areas that the Treasury described as ‘critical for productivity’ - transport, digital communications, research and development, and housing.

This was the only spending commitment in the Statement funded by additional borrowing, rather than other fiscal measures such as tax cuts, the chancellor said.

”Local
Manchester in the Northern Powerhouse

Mr Hammond said that he had also written to the National Infrastructure Commission to advise it that it should assume that the Government would spend between 1.0% and 1.2% of GDP on infrastructure every year from 2020 until 2050.

He added that current spending, measured according to the same definition, would be around 0.8%.

The Government is publishing a strategy for addressing the productivity gap in the Northern Powerhouse and will publish a similar strategy for the Midlands Engine shortly, Mr Hammond said.

The chancellor also announced a further tranche of local growth funding worth £1.8bn. Of this, £556m will go to the North of England, £392m to the Midlands, £151m to the east of England, £492million to London and the South East, and £191m to the South West.

Mr Hammond said that the Barnett formula meant increases in funding for infrastructure for devolved nations, with £250m for Northern Ireland, £400m for Wales and £800m for Scotland.

On digital infrastructure the chancellor also confirmed a total of £1bn ‘to catalyse private investment in fibre networks and to support 5G trials’.

He announced that 100% business rates relief would apply to new fibre infrastructure for five years from April 2017.

Mr Hammond said ‘Our future transport, business and lifestyle needs will require world class digital infrastructure to underpin them. So my ambition is for the UK to be a world leader in 5G.’

He also confirmed that funding for research and development will be £2bn per year by 2020, as announced by prime minister Theresa May this week.

Mr Hammond said his infrastructure spending would provide ‘the financial backbone to the Government’s industrial strategy’.

 

Also see

Register now for full access


Register just once to get unrestricted, real-time coverage of the issues and challenges facing UK transport and highways engineers.

Full website content includes the latest news, exclusive commentary from leading industry figures and detailed topical analysis of the highways, transportation, environment and place-shaping sectors. Use the link below to register your details for full, free access.

Already a registered? Login

 
comments powered by Disqus
 
 
highways jobs

HGV Driver/Loader (Waste Management)

Torridge District Council
£22,021—£23,836 per annum (FROM 1 APRIL 2019)
Driving & loading a refuse/recycling collection vehicle up to 26 tonne gross weight, collecting recycling or household waste throughout Torridge Bideford, Devon
Recuriter: Torridge District Council

Director of Highways and Transport

Lancashire County Council
c£100k
We are looking for a passionate and energetic leader to deliver a range of ambitious and major projects. Lancaster, Lancashire
Recuriter: Lancashire County Council

Director of Growth, Environment & Planning

Lancashire County Council
c£100k
Our new Director will help us to develop a strong corporate vision, strategy and robust operations to service. Lancaster, Lancashire
Recuriter: Lancashire County Council

Head of Highways and Network Operation

Blackburn with Darwen Borough Council
£55,537 to £59,663
We are looking for an experienced transport professional with an excellent grounding in Highways and transport operations. Blackburn, Lancashire
Recuriter: Blackburn with Darwen Borough Council

Engineer Maintenance

Liverpool City Council
£32,233 - £37,107
Liverpool City Council are looking to recruit an Engineer Maintenance. Liverpool, Merseyside
Recuriter: Liverpool City Council

Site Supervisor

Liverpool City Council
£32,233 - £37,107
Liverpool City Council wish to appoint Site Supervisors to supervise the City Council's highway construction works. Liverpool, Merseyside
Recuriter: Liverpool City Council

Permit Officer

Liverpool City Council
£23,111 - £27,358
Liverpool City Council are looking to recruit a Permit Officer. Liverpool, Merseyside
Recuriter: Liverpool City Council

Contracts Manager

Liverpool City Council
£37,107 - £41,846
Liverpool City Council wish to recruit a Contracts Manager based in Highways & Transportation. Liverpool, Merseyside
Recuriter: Liverpool City Council

Principal Engineer - Asset Management

Liverpool City Council
£37,107 - £41,846
Liverpool City Council wish to recruit a Principal Engineer - Asset Management. Liverpool, Merseyside
Recuriter: Liverpool City Council

Highways Inspector

Liverpool City Council
£32,233 - £37,107
We are seeking to recruit an enthusiastic individual to be a key member of our Highways Team. Liverpool, Merseyside
Recuriter: Liverpool City Council

Engineer - Capital Projects

Liverpool City Council
£32,233 - £37,107
Liverpool City Council is looking to recruit an Engineer - Capital Projects. Liverpool, Merseyside
Recuriter: Liverpool City Council

Engineer - Highways Capital Projects (S106)

Liverpool City Council
£32,233 - £37,107
Liverpool City Council wish to recruit an Engineer (Capital Projects). Liverpool, Merseyside
Recuriter: Liverpool City Council

Team Leader - Asset Management

Liverpool City Council
£41,846 - £46,560
Liverpool City Council wish to recruit a Team Leader - Asset Management. Liverpool, Merseyside
Recuriter: Liverpool City Council

Technical Assistant

Liverpool City Council
£23,111 - £27,358
Liverpool City Council are looking to recruit a Technical Assistant. Liverpool, Merseyside
Recuriter: Liverpool City Council

Waste and Recycling Engagement Officer

Camden London Borough Council
£24,460 - £26,358
We now have an exciting opportunity for a talented and enthusiastic individual to join us and be part of the North London Waste Authority (NLWA). Camden, London (Greater)
Recuriter: Camden London Borough Council

Major Transport & Development Projects - Strategic Specialist

Wiltshire Council
£51,763 - £57,066
Wiltshire has a highly regarded record of securing funding and delivering major transport improvements across all modes of travel. Wiltshire
Recuriter: Wiltshire Council

Assistant Director - Growth and Development

Lincoln City Council
£59,058.00 - £65,127.00
Looking for an experienced manager with a good track record in proactively driving economic growth and investment. Lincoln, Lincolnshire
Recuriter: Lincoln City Council

Assistant Director – Transport and Connectivity

Birmingham City Council
£73,513 - £90,864
This is one of a number of influential new senior roles for collaborative people, motivated by doing what’s right for our city and residents. Birmingham, West Midlands
Recuriter: Birmingham City Council

Director (Environment and Planning)

Hinckley & Bosworth Borough Council
£77,265 p.a.
You will have a great opportunity to drive forward an ambitious strategic growth agenda... Hinckley, Leicestershire
Recuriter: Hinckley & Bosworth Borough Council

Service Director – Environment

Kirklees Metropolitan Council
£98,615
Looking to recruit to a key post within our Economy and Infrastructure Directorate.  Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council