U.K.'s government unveils £200 billion National Infrastructure Plan

Less than a week after Prime Minister David Cameron and the Coalition Government announced severe, sweeping cuts of the government budget, they have announced a £200 billion National Infrastructure Plan designed to boost the economy and foster the growth of private enterprise. According to the prime minister, the plan will serve to rebuild and rebalance the economy while providing the impetus in which businesses can thrive.

“I can announce today the U.K.’s first ever national infrastructure plan setting out the infrastructure Britain needs and how we will unlock some £200 billion worth of public and private sector investment over the next five years to deliver it,” the prime minister said in a statement yesterday. “This is incredibly exciting, and it shows how, together, we can help create the right framework for growth in which British business can thrive and compete with the rest of the world.”

Construction Digital reports that the parameters of the plan call for a government commitment of over £40 billion directed to infrastructure projects. Projects include a Green Investment Bank that provides up to £1 billion toward a commercial scale carbon capture and storage demonstration projects; a £530 million broadband investment; £30 billion for transportation, including a high speed rail network, maintenance and investment in local roads and rail and funding toward the Network Rail; and significant investments in scientific research.

“For the economy to flourish, people, goods and information must move freely. Reliable infrastructure: energy, water, transport, digital communications and waste disposal networks and facilities, are essential to achieve this. Ensuring these networks are integrated and resilient is vital,”

said Lord James Sassoon, Commercial Secretary to the Treasury. “We recognize the scale of the challenge and the need to encourage new sources of private sector capital. We are targeting Government’s own investment at a series of bold and critical projects that go to the heart of this vision and support a private sector led recovery.”

The ambitious National Infrastructure Plan has the support of the Civil Engineering Contractors Association, whose National Director Rosemary Beales said, “We are extremely encouraged by the National Infrastructure Plan, which sets out the scale of the UK’s requirements in energy, transport, digital communications, flood protection, water and waste management. CECA has lobbied hard for Government to take a long-term and holistic view of infrastructure and the investment needed to maintain a competitive economy.”