Spending Cuts: Treasury will listen to contractors

Grant Prior 14 years ago
Share

Construction companies will get the chance to influence the future of public spending under radical policy reforms due to be revealed by the government today.

Contractors will be invited by the Treasury to join the debate into the future of public spending as part of chancellor George Osborne’s “fundamental re-evaluation of the role of government”.

The Treasury will canvas opinions on which functions the government should perform and which could be done by other bodies to save money.

A “star chamber” of senior figures will also be created which ministers will have to justify their spending in front of.

The move comes as David Cameron warned that spending cuts would need to be severe because interest payments on the national debt could hit £70bn within the next five years.

Osborne is expected to outline the consultation framework for future spending decisions at Treasury questions in the House of Commons later today.

The model copies a scheme from Canada’s successful deficit-cutting strategy from the 1990s.

It will ask people to discuss whether the government needs to provide certain public services at all, or whether other organisations, such as councils, voluntary groups or companies, could do so more cheaply.

A Treasury official said: “Anyone who thinks the spending review is just about saving money is missing the point.

“This is a once-in-a-generation opportunity to transform the way that government works.”

One contractor told the Enquirer: “It seems Cameron is preparing everyone for deep cuts.

“Talking to industry is a positive thing and there should be areas where private money can come in and pick-up the slack.”

Latest news

Aluminium cladding specialist collapses

Melton Mowbray-based firm worked for several main contractors
7 hours ago

Brickwork contractor Lee Marley returns to profit

Affordable and rental homes demand lifts brickwork contractor
7 hours ago

Housing contractor Durkan suffers second year of losses

More fire safety provisions tip firm into £3.9m loss
8 hours ago

Farrans makes breakthrough on tricky tunnel job

Tunnel under Tees latest part of new £155m water pipeline job
8 hours ago

Heidelberg buys aggregates and earthworks specialist B&A

Latest deal follows acquisition of Mick George
8 hours ago

Flagship biodiversity net gain scheme flawed

NAO warns Government's flagship green development scheme at risk of failure
3 days ago

Plan in for £3bn Lincolnshire mega data centre

3.3m sq ft Humber Tech Park will be one of Europe's largest data centres
3 days ago

Green light for Digbeth 1,300 homes scheme

Warner’s Fields scheme to start with excavation and landscaping of the River Rea
3 days ago

£210m M3 Junction 9 upgrade gains consent

VolkerFitzpatrick to start work in early 2025 on Winnall roundabout, near Winchester
3 days ago

United Living wins 14-year L&Q homes repairs deal

Trafford housing upkeep deal worth £205m
3 days ago

£400m Lewisham resi-led scheme advances

Land deal paves way for Amro Partners' 1,000-home London scheme
3 days ago

McLaren gets go-ahead for Grade II listed Leeds student scheme

Springfield House to be revamped and two new wings added
3 days ago

Piling giant to fit people alarms on all rigs

Cementation Skanska upgrades site safety systems
3 days ago

Vistry to make £800m profit after subcontractor cost cuts

House builder bullish about shareholder returns after asking suppliers for discounts
4 days ago

Shareholders approve £2.5bn Barratt and Redrow merger

Final hurdle is for the competition regulator to approve the deal.
4 days ago

Green light for £80m Leith waterfront revamp

Build-to-rent homes and student accommodation scheme to be built
4 days ago

Tilbury Douglas clears Interserve legacy jobs to return to profit

Revenue tops £500m in first year as standalone contractor
5 days ago

Land deal paves way for Manchester civil service office hub

Government buys five acres at former Central Retail Park
4 days ago

Speller Metcalfe wins Wolverhampton library upgrade

Full works are due to start in the autumn
4 days ago

Skills shortage puts big infrastructure projects at risk

Government failing as an intelligent client and now over-reliant on consultancies
5 days ago

Contractors face further insulation board price hikes

Cost of PIR insulation boards set to rise another 10%
5 days ago

Henry Boot wins £36m Rotherham Markets job

Project involves upgrading existing market and building a new library
5 days ago

Keltbray hires new head of infrastructure procurement

Lukasz Olszewski will oversee rail, energy and highways business units
5 days ago

Tunnel fit out robot to revolutionise civils work

Costain and VVB Engineering part of innovative consortium
5 days ago

Funding deal for £86m wind turbine test centre

Latest investment at National Renewable Energy Centre in Blyth
6 days ago

Plan in for Manchester ‘upside-down’ 18-storey tower

Landmark cantilevered NXQ building plan for city Northern Quarter
6 days ago

London 25km Super Sewer hooked up for commissioning

Tideway completes connection to existing Lee Tunnel sewer system
6 days ago

£200m Lincoln ring-road approved

North Hykeham Relief Road granted planning permission
6 days ago

£1bn Manchester Airport City plan rebooted as new sci-tech hub

Plan pivots from offices to science and manufacturing campus, called MIX Manchester
1 week ago

Record results at maintenance specialist Renew

Infrastructure maintenance work continues to pay off for contractor
6 days ago

Contractor services