UK infrastructure outlook positive, but greater investment needed

The Infrastructure Outlook Report, commissioned by Tarmac, shows general confidence about the UK’s overall infrastructure outlook over the next year. However the report, based on research from Ipsis Mori, also highlights the concern that not enough is being done to meet infrastructure requirements.

“It’s great to see that the construction industry is in a confident mood, but there is no room for complacency. Challenges remain in meeting the UK’s infrastructure requirements and there is concern about delivery in the years ahead. However, the industry signals a clear intent to work more collaboratively with all parties to deliver a step change in infrastructure for the UK,” said Cyrille Ragoucy, Tarmac’s chief executive.

Some 83% of respondents considered cutting red tape to be a priority, while 73% called for greater government investment and 71% wished for greater certainty on government spending.

Over three quarters (77%) of those respondents who think the government should spend more on new economic infrastructure projects in the next five years believe that the private sector should lead funding for new economic infrastructure projects. This is more than double the levels thinking other sources should be involved, such as Government borrowing (37%), sovereign wealth funds (32%) or increased taxation (31%).

Tarmac’s survey also confirms that more agree (48%) than disagree (26%) that most other European countries, especially Germany and France, are ahead of the UK in terms of investment and development of both economic and social infrastructure. Even more agree (64%) than disagree (14%) that China and other leading global markets, the USA in particular, are ahead of the UK in infrastructure investment and development. Some 78% of survey participants also agree that the time taken for infrastructure projects could be reduced if there was greater collaboration across supply chains. Such collaboration – public and private – could be facilitated via a Department for Infrastructure, with a clear majority (72%) supporting the creation of such a department.

The full report, including further findings of interest, can be found here. 

Adapted from press release by Katherine Guenioui

Read the article online at: https://www.worldcement.com/europe-cis/03122015/uk-infrastructure-outlook-positive-112/