Flood defence work gets £700m Budget boost

Aaron Morby 2 years ago
Share

Chancellor George Osborne has pledged to pump £700m extra spending into boosting the country’s battered flood defences.

Chancellor releases vital kick-start funding to maintain momentum behind next wave of major projects

The extra cash will bring forward urgently needed schemes in the worst hit areas across Cumbria and Yorkshire.

In today’s Budget the Chancellor said he would find the cash from raising the standard rate of Insurance Premium Tax by just half a percentage point.

He said: “The urgent review already underway by the Environment Secretary and the Chancellor of the Duchy of Lancaster will determine how the money is best spent.

“But we can get started now. I have had many representations from colleagues across the House.

“So we are giving the go ahead to the schemes for York, Leeds, Calder Valley, Carlisle and across Cumbria.”

Osborne has confirmed Government backing for the HS3 project between Leeds and Manchester and Crossrail 2 in London.

In hard cash terms, the Government will release £60m to develop plans to cut journey times to around 30 minutes between Leeds and Manchester, as well as improving transport connections between other cities in the north.

A further £80m will be released to fund development work for the Crossrail 2 link to connect south west and north east London.

The Chancellor said the Treasury was also brining forward £161m by two years to create a 4-lane M62, and will develop the case for a new tunnelled road from Manchester to Sheffield. In the North Pennines he also pledged to bring forward upgrades to the A66 and A69.

The government will also spend £50m on a world-leading centre for food and health research at Norwich, £2m refurbishing the Hall for Cornwall in Truro, and £5 million support to the Shakespeare North project to establish a new theatre in Knowsley.

“Across Britain this Budget invests in infrastructure – from a more resilient train line in the South West, to crossings at Ipswich and Lowestoft in the East – we are making our country stronger,” he added.

Further Budget infrastructure project details; Northern Power project start dates.

Budget 2016

Industry response

Mark Perkins, managing director at Wates-owned SES Engineering Services, said: “The next five years certainly looks bright for UK infrastructure, let’s hope that the reflected benefits of these developments are really felt in the wider economy and industry.”

Mark Cleverly, Head of Commercial Developers at Arcadis, said: “The outlook for population growth and prospects for development activity rippling out to the commuter towns and locations in the South East benefitting from Crossrail 2 now look very strong indeed, whereas the Northern Powerhouse cities of Manchester, Leeds potentially appear set for a golden period of regeneration.

“These infrastructure investments could pave the way for a re-balancing of the country and a 20 year renaissance in property development across the Midlands and the North.”

Dave Sheridan, Chief Executive of Keepmoat, said: “The reform to business tax, reduction of business rates and corporation tax will allow small businesses in our supply chain to grow quicker and become more stable, which will only help the housing sector in the long term. 

“The cut in capital gains tax may encourage landowners to sell their land to developers without fear of high tax rates, which could open up more opportunities for building much needed homes. “

Tony Kearns, operations director for rail at WSP | Parsons Brinckerhoff, said: “This commitment to major railway investments nationwide gives the engineering sector the confidence to recruit in preparation and develop the skills the industry needs to deliver these ambitious schemes.

“We now need the education sector to play a role in encouraging more young people into engineering to help us produce more high quality rail engineers.”

Institution of Civil Engineers director general, Nick Baveystock, said: “While the headlines are focussed on important large projects, the upkeep of our existing infrastructure – from flood defences to local roads – should not be forgotten.

“We await details on any local authority cuts and the impact on maintenance budgets, and will continue to encourage a shift from reactive patch-up work towards a ‘whole life’ approach to infrastructure investment.”

Latest news

McMullen Facades follows Lakesmere into administration

Firms circle to buy profitable cladding arm from administrators
5 hours ago

Clugston set to start £1.2bn Lincolnshire Lakes project

Excavation and engineering works set to begin early next year
3 hours ago

Sisk tipped for £88m Gatwick Airport hangar

Firm closes in on huge Boeing GoldCare hangar
8 hours ago

Willmott Dixon to build first Passivhaus secondary school

Builder to start work on £36m Harris Academy Sutton in the New Year
8 hours ago

Renew profit slides after £6.4m gas mains exit hit

Flowing AMP6 water work boosts engineering services revenue
4 hours ago

18 jobs at risk as London roofing specialist fails

Essex-based Superior Roofing & Building Services placed in administration
8 hours ago

Accounting watchdog launches probe into Mitie’s books

Investigation into preparation and approval of contractor’s 2016 financial statements
1 day ago

Severfield to supply small steelwork fabricators

Half-year profits soar as Severfield unveils plan to supply steel to small project
8 hours ago

£200m funding green light for Midland Metro extension

Theresa May launches £1.7bn city transport funding pot
1 day ago

Lendlease confirms £440m order for two London jobs

Order book swells with major Euston office revamp and 43-storey Pan Pacific hotel and flats
1 day ago

Chancellor vows to build 300,000 homes a year

Treasury reported to have found £5bn boost for housing schemes
1 day ago

Union demands urgent talks over threat to Carillion jobs

Union Unite seeks meeting after profit warning and latest debt figures
1 day ago

Over 80 jobs lost as historic builder goes under

Around 80 job losses as Knowles & Son (Oxford) falls into administration
1 day ago

Clancy Docwra breaks even as profits slide

Civils firm caught in two significant contractual disputes
1 day ago

Wates bags one of Birmingham’s tallest resi buildings

Developer Regal signs £32m deal for second tower at Broad Street
1 day ago

Green light for Salford resi block trio

Developer Select Property will pick a contractor for Embankment West by the Spring
1 day ago

GF Tomlinson wins £16m Nottingham Uni biosciences job

Work is due to start on new laboratories and lecturer theatre in early 2018
1 day ago

Carillion warns on profits again as it breaches banking covenants

Contractor asks for more time from lenders as debts set to soar up to £925m
4 days ago

T Clarke powers ahead on London major project wins

M&E specialist boasts strong orders for next two years despite Brexit fears
4 days ago

Kier wins £35m Clydebank hospital project

Kier to start work early next year on first of two treatment centres for Golden Jubilee hospital
4 days ago

M&E specialists suffering from blight of retentions

Nearly a third of firms have up to 10% of their turnover locked-up in retentions
4 days ago

15 councils face action over local housing plans

Government set to intervene to force through local housebuilding plans
5 days ago

Betting Spy: Winning start for the Moyes boys?

West Ham are worth a go at 5/2 to turn up for their new boss
5 days ago

North to get own transport spending powers

Plan to give Transport for the North statutory powers from April a game-changer
5 days ago

White collar skills crisis strangling construction

Nearly two thirds of companies can't find Quantity Surveyors
5 days ago

Winvic bags £40m Nottingham build to rent scheme

Construction to start this month on 350-home scheme
5 days ago

Government rethink over £130m Balfour lorry park

Current plans dropped as Highways England goes back to the drawing board
5 days ago

Green light for £270m Swindon leisure complex

Work to start next year on North Star ski centre, hotel and cinema complex
5 days ago

£60m+ offsite secondary school bundle out to bid

ESFA plans trio of £20m-plus secondary schools projects using modular construction
5 days ago

British Land to start £200m London office revamp

Regent's Place office to be enlarged in major revamp near Euston
5 days ago

Contractor services