CECA opinion: We need politics to be more strategic in infrastructure

06/11/2023 | MARIE-CLAUDE HEMMING

The Civil Engineering Contractors Association (CECA) represents companies that deliver, upgrade, and maintain the infrastructure we all need to live and work. Director of operations Marie-Claude Hemming discusses its plans after a turbulent year in politics.

CECA has just returned from its annual conference hiatus, following a busy summer of planning and preparing for the forthcoming general election. While a date is yet to be announced, what we do know, is that a UK general election must be held by the end of January 2025.

With this is mind, CECA has focused over the last few months on working with its members on our policy asks to the next government.

We are pleased to see that there is an acceptance across all political parties that the United Kingdom needs good and reliable infrastructure to thrive. All three main Westminster parties are engaging with us and our members. Yet, in recent weeks we have seen a substantial change of focus from the current Government on HS2.

This comes despite industry warnings over the impact of such an about-turn and was followed a few weeks later by the National Infrastructure Commission’s (NIC) second National Infrastructure Assessment.

The NIC called for an approach to infrastructure delivery that provided clear policy stability and pro-investment regulation and sped up the planning system for major projects. But in spite of warnings from industry and independent bodies, we are at serious risk that infrastructure investment will be substantially reduced over the next 10 years. Existing projects, including in the roads and highways sectors are already under threat.

This is a false economy. The impact of pauses and cancellations cannot be overstated and are casting a long shadow over the future of UK plc.

There is real concern that the long-fought-for investment plan for the UK’s public infrastructure could fall from favour, as it did so catastrophically in the Global Financial Crisis of 2008.

Then, capital spending was cut too far and too fast, and economically viable projects were cancelled for short-termist reasons – often to the detriment of the taxpayer, as they had to be re-procured at greater cost at a later date.

 

Where specific monies are invested remains a matter of debate. But inevitably there will continue to be the requirement for investment in the maintenance and development of our roads and highways network. Progress towards better societal and economic outcomes means moving forward not back.

With this in mind, we are specifically calling on an incoming government to stick to the plans outlined in the National Infrastructure Strategy and put construction at the heart of policymaking with the establishment of a cabinet committee for infrastructure, committed to the delivery of an integrated infrastructure plan.

We are also strong advocates for the establishment of a high-level English Transport Strategy which supports Sub-national Transport Bodies (including Transport for London), integrates with the devolved nations and delivers firm five-year capital settlements complemented by indicative five-year funding.

The UK does not currently maintain a reliable and efficient transport network. While there is good connectivity in our cities, our towns and surrounding regions do not fare so well. Some of our road and rail routes remain congested, with no viable overall plan for an integrated transport network for England, which is essential for a resilient and sustainable economy seeking to achieve its carbon reduction obligations.

Without serious action – notably in our response to climate-induced failure - the entirety of our infrastructure network will fail. Yet, we remain in a period of fiscal restriction, with little appetite for additional spending. This approach will negatively impact our future society.

As such, we are calling on the next government to work with industry to develop infrastructure financing opportunities that work for all.

Our policy work seeks to balance society’s continued requirement for good infrastructure with the economic climate we find ourselves in. Combined with global uncertainty and our need to meet net zero goals in an affordable way, the next infrastructure decade will undoubtedly be one full of challenges, best practice and innovation.

Over the coming months, CECA will be working with its members and stakeholders to develop our policy asks further along the core areas of roads, rail, water and power.

Civil engineering contractors work across all infrastructure sectors, across the regions and nations of Great Britain. With cross-government support, we stand ready and primed to deliver the transportation and utilities we need for the next decade.

CECA has more than 300 members split across Great Britain and represents firms who together carry out an estimated 70-80% of all civil engineering activity in the UK, in the key sectors of transport, energy, communications, waste and water. If you would like to be part of our 2024 workstreams, please email marieclaudehemming@ceca.co.uk.

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