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Business urges Budget end to "make do and mend" approach to transport infrastructure

30 June 2015
 

The British Chambers of Commerce warns the Chancellor ahead of his emergency Budget next week that lack of investment in transport infrastructure capacity and maintenance is hampering business growth and costing jobs.

The BCC's submission says that the UK still lags behind other developed countries for the quality of its transport and other infrastructure, ranking 27th in the World Economic Forums' quality of overall infrastructure table. "The UK needs to be in the top 15 by 2020 if it is to achieve the Government's aspiration to become the richest country in the G7 per capita by 2030," the chambers says.

Business people across the UK are concerned "that Government spending remains too focused on areas of short-term economic benefit and political convenience, instead of on assets that have a lasting economic impact," the submission continues, urging the delivery of promised investments in road and rail schemes of national importance and a green-light to new aviation capacity. It also seeks the removal of investment relating to the delivery of the national infrastructure plan from the national debt target - as Labour and the Lib Dems had urged in the General Election. 

The submission comes after the CBI attacked the Government's decision to postpone or shelve what it described as "much-needed" electrification projects promised before the General Election. And the transport secretary has himself savaged Labour for leaving Britain low in the World Economic Forum's rankings on infrastructure.

John Longworth, director general of the BCC, echoing the PM's words, said that until the UK overhauls its "lacklustre" approach to infrastructure," the country risks "falling behind in the global race".

 

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