Government’s growth ambitions must be backed with infrastructure spending

In an opinion article for Building magazine published ahead of the Budget on 30 October, Mott MacDonald managing director for UK & Europe Richard Risdon has set out a number of issues he’d like to see the government address.

The importance of infrastructure spending for economic growth

In the piece, Richard discusses the importance of infrastructure spending to support the UK's economic growth ambitions, particularly in the context of the upcoming Autumn Statement. He explains that the new government aims to drive economic growth through a housing boom but adds that there is a disconnect between this ambition and suggestions that there are plans to cut infrastructure spending. He adds that potential project cancellations could also undermine confidence and affect recruitment, retention and investment in new technologies.

The disconnect between housing ambitions and infrastructure cuts

The article emphasises that housing-led growth cannot be sustained without corresponding infrastructure growth, particularly in road and rail connections. The government's plan to merge the National Infrastructure Commission and the Infrastructure and Projects Authority into a new National Infrastructure and Service Transformation Authority (NISTA) is intended to improve infrastructure delivery, but cancelling projects could be counterproductive.

Opportunities in the Autumn Statement for infrastructure support

Richard sees the Autumn Statement as an opportunity for the government to show support for vital infrastructure sectors such as transport, water and energy. However, he also calls for further announcements on planning and regulation, as well as increased support for local and regional planning departments and regulators like the Environment Agency.

While Richard acknowledges financial constraints faced by the government, he argues that sufficient investment in new infrastructure is necessary to stimulate economic growth rather than stifle it.

Richard and other business leaders at Mott MacDonald will be responding to the Budget on 30 October, check the news section and our socials following the speech to read their reactions.