The UK must end funding and political delays over major infrastructure projects or jobs and long-term growth will suffer, CBI director general John Cridland (pictured) said last week.

Speaking at the Association for Consultancy & Engineering’s centenary annual conference Mr Cridland said that investment for major transport and energy is “on pause” – and despite some progress, government, business and investors were “caught in a frustrating cycle of waiting on each other.”

The CBI boss called on all three major political parties to show real leadership and deliver the infrastructure the UK needs over the next few decades including securing a long-term investment plan for road, rail and aviation capacity.

 “The pace of progress towards building the networks we desperately need is too slow,” Mr Cridland said. “After two years of encouraging policy announcements, we’re simply not seeing the expected flow of projects materialise. Despite some progress, too often businesses and investors, and indeed government are caught in a frustrating cycle of waiting on each other.

 “Given that over three-quarters of the National Infrastructure Plan will be funded by the private sector, business needs government to make decisions. This is a story of implementation.

“The message from companies is very clear: there is no shortage of capital available to invest in UK infrastructure, just a shortage of suitable projects.

“Global investors are looking for a pipeline of sufficiently large projects with the right risk profiles, but the UK is falling short on both project availability and how we sell the opportunities available.

“Some have capital to invest now and are frustrated by the lack of immediate assets. Others are planning their future investments and struggle to deal with the risks created by insufficient policy certainty.

“To business it feels like the country’s infrastructure investment is on pause – when in fact, of course, it isn’t. Government is striving to get projects over the line – but it’s taking too long.

“Investors are waiting for contractors to initiate projects, contractors are waiting for government decisions, and ministers are trying to attract investors – and everyone is frustrated.” 

(Photo: CBI)

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