Infrastructure – the shortage of it as well as its generally crumbling condition – looks like taking centre stage in the general election that is widely expected to be held this year. Opinions seem divided on whether the prime minister might call an election sooner as his opinion poll ratings might get even worse, or hold off until perhaps October in the hope that things might get better.
The overall economic picture does seem to be improving, but is anything likely to be able to be done before an election on any of the dates open to the prime minister to improve the UK’s infrastructure? Nobody would choose to fight an election based on the track record on public investment in infrastructure and its maintenance achieved by governments over the past 15 years or so; so delay in the hope that something turns up might be the best strategy.
The UK now seems unable or unwilling to invest in looking after infrastructure investments already made by previous generations, so there is little ground for optimism that funds will be diverted towards new projects.
The continued ignoring of the state of the UK’s pothole ridden roads for example is something of an economic policy marvel; it somehow continues to seem to government that they can save money by putting off for years work that will eventually cost many times more than the initial savings to repair, and impose other costs on companies and individuals struggling to attend meetings or reach workplaces using roads with holes big enough to break suspensions and axles when vehicles hit them.
A key plank in the government’s policy portfolio is to shift the UK to a net zero status by a specific deadline; as laid down in legislation. Sweeping changes to the energy system are obviously needed, and fast, to achieve these objectives. But, predictably, the defining characteristic of the government’s response to its own net zero policy is foot dragging that is noticeable across Westminster and Whitehall.
National Infrastructure Commission chair Sir John Armitt was moved to write to Chancellor of the Exchequer Jeremy Hunt in February, warning that too much time was being taken to decide what measures to adopt to support private investment in decarbonising energy provision. In particular, he called for urgency in providing large scale facilities for storing hydrogen and for carbon capture and storage (CCS) schemes. This infrastructure and other carbon reducing measures needs to be delivered over the next decade if the target of net zero carbon emissions is to be achieved by 2050. But government has been taking two years to consult on policies to support investments, with further work needed before even the support is delivered, let alone the schemes themselves.
Even when funds have been allocated, such as the £10 billion for the much trumpeted Levelling Up programme, delays in actually making any investment have been slammed as “absolutely astonishing” by Parliament’s Public Accounts Committee (PAC). Just 10% had been spent so far, the PAC said in March. Projects that had secured funding early on in the programme were mostly being delivered late and further delays seemed unavoidable.
Councils had to ‘bid’ for these funds, and of over 800 bids costing an average of £30,000 each, only 25% were successful, underlining the fact that as far as infrastructure investment goes the government seems to have little clue about how to make it, but no shortage of creative ideas to waste it as well as delay it.
Nick Barrett
Editor