Wayne Brophy
Sep 18, 2013
Companies give views about Govt. policies on infrastructure
Some 65 per cent of businesses think the present government's infrastructure policies aren't going to change things in a tangible way, or will make things worse.
That's the finding of a recent report called Connect More from CBI and KPMG, featuring a survey which uncovered the views of 526 business leaders.
Just 35 per cent thought government policy would change things on the ground.
"Quality infrastructure is vital for boosting exports, unlocking business investment across the UK, and supporting our leading firms – an essential element of a meaningful industrial strategy," commented the director general of CBI, John Cridland.
"I know that ministers share my enthusiasm for progress, but Government has talked the talk on infrastructure for the last two years with too few signs of action," he claimed.
The pace of delivery when it came to infrastructure was flattering, he argued.
That created the feeling that politicians didn't have "the political will" to take action on certain big issues in a "head-on" way, he suggested.
It was not affordable for continued delay to take place, he said, calling on the government to demonstrate "strong leadership" as proof that the nation could "deliver on a small number of projects over the next 18 months and reach a much-needed consensus on bigger issues such as aviation and roads reform."
The organisation wants five things to be done during the coming year and a half, to provide a construction boost and set the scene for decisions in the longer term.
One of these is for the government to stimulate investment through the introduction of capital allowances aimed at infrastructure construction. This should be brought in with the Autumn Statement, it says.
Among other things, it also wants the government to finish up feasibility studies when it comes to rail and road projects mentioned in its Spending Review.
It should make a commitment to detailed plans about how these will come into being, CBI feels.
And the organisation wants an audit to be carried out on the subject of the UK's road network, and operating costs in this area.
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