UK infrastructure deficit now at £60bn

Aaron Morby 3 years ago
Share

Increasing infrastructure spending by 1% of GDP would create more than 200,000 new jobs in the same year and help to close a growing investment gap.

The influential credit rating agency Standard & Poor’s estimates that the UK infrastructure deficit now stands at more than £60bn despite government’s promise to unleash private sector investment in infrastructure to spur growth.

In a new report, Building For Growth, S&P has added its voice to those calling for a wave of fresh infrastructure spending to drive further growth in the UK economy.

While the debate on infrastructure often focuses on cost, S&P believes the returns on investment are equally important.

The positive impact of extra infrastructure spending would be sizeable and self-funding, argues the report.

It estimates that for every £1 spent on infrastructure in one year the country’s GDP would rise by £1.9 over a three-year period.

S&P said for this reason it expects infrastructure investment to increase over the next decade, creating significant opportunities for private investment in the sector.

“In our view, this could boost the country’s economic growth, both in the short term and over time.

“The long-term impact of increased infrastructure investment is relevant because, in our view, insufficient investment has been one of the key factors explaining weak productivity performance in the UK.”

 

Latest news

Hong Kong investor buys stalled £77m Manchester scheme site

Far East Consortium plans major residential scheme Angelgate site
9 hours ago

Heathrow calls for fresh ideas on airport expansion

Businesses or individuals are being called to pitch in ideas for third runway expansion
17 hours ago

Retentions Bill second reading pushed back to June

Construction (Retention Deposit Schemes) Bill reschedule
15 hours ago

BAM wins Bristol engineering building

Enabling works later this summer at the University of the West of England's Frenchay campus
18 hours ago

Midlands builder Stepnell expands south

New offices opened in Southampton and Poole
15 hours ago

Egis takes on M40 upkeep role from Carillion

French giant saves 95 jobs at crashed contractor
2 days ago

Robertson bolsters north west arm with O’Rourke hires

Peter Grieve joins as north west operations director
2 days ago

Shareholders revolt over Persimmon pay

AGM vote sees £75m bonus deal for chief executive agreed but 48% of investors vote against
21 hours ago

Competition fear over Tarmac Breedon concrete plants swap

Competition watchdog raises concern about ready-mixed supplies in South Wales and Lancashire
21 hours ago

Scottish quarry surfing lake approved

£10m project to create Scotland's first artifical surf park gets go-ahead
22 hours ago

Science Museum seeks builder for vast storage building

Firm to be picked in October for 300,000 sq ft warehouse near Swindon
2 days ago

Boost your online presence – join the new Enquirer Directory

New site for suppliers and buyers will showcase their products, services and latest stories
2 weeks ago

Insurers slam fire test regime for building materials

"More realistic" lab tests demanded for cladding systems post Grenfell
2 days ago

£80m twin hotel plan for Manchester Airport

Ibis and Holiday Inn kick-start new £180m Airport City hotel district
2 days ago

Worker in plunge removing fall arrest bags from school site

Court hears edge protection was not up to industry safety standards
2 days ago

Mace to start £120m Crossrail office scheme

PLP Architecture reveals latest images of Farringdon scheme
2 days ago

Green light for Liverpool Monarchs Quay scheme

Next phase of King's Dock mixed-use scheme approved
2 days ago

Accident rates hit record lows for NASC scaffolders

Contractors representing 16,000 scaffolding operatives continue to reduce accidents
2 days ago

First packages awarded on £28m Milton Keynes office job

Galliford Try gets going on eight-storey complex
3 days ago

Network Rail to build £46m Wigan train depot

Preparation works are getting underway for Ince-in-Makerfield depot
3 days ago

Specialist trade bodies petition No 10 for payment reform

Unprecedented coalition of trade associations urge Prime Minister to act
3 days ago

Construction boss and developer jailed for contracts bribery

Skansen Interiors MD and and DTZ project manager sentenced
3 days ago

Murphy wins Wessex Water Trym Tunnel relief sewer

North Bristol tunnel scheme to start next year
3 days ago

Graphene concrete game-changer for industry

Exeter Uni scientists produce concrete with twice the strength and four times water resistance
3 days ago

Kier lands lead role in £19.4m Glasgow theatre revamp

Work to start in September revamping the Citizens Theatre
3 days ago

Hill boasts record year as partnerships margin hits 3%

Partnership housing drives growth at Hill as pre-tax profit hits £47m
3 days ago

CMS wins £10m glazing deal on BAM’s Atlantic Square job

Major package win on £100m scheme
4 days ago

Contractors fold before £2m site death fines

Judge hands out huge fines but firms are no longer in business
4 days ago

Green light for £350m Leeds South Bank scheme

Preparation works can now start with construction planned to start next year
4 days ago

Mace go-ahead for London £150m Hanover Square scheme

Great Portland Estates JV secures pre-let to start building work on Mayfair scheme
4 days ago

Contractor services