Budget 2013: £3bn from Chancellor for infrastructure will not help the struggling construction sector

20 Mar 2013 | 02:23 pm |

Commenting on the announcements made by the Chancellor in his Budget today, Kate Orviss, Infrastructure Partner at Pinsent Masons, said: "Today's announcement by the Chancellor yet again started full of promise as he repeated his commitment to the sector. However, it ended up being disappointing notwithstanding the announcement of an additional £3 billion for the sector. The disappointment is that this funding will not be available until 2015-16 and there is a complete lack of clarity over what it will be spent on. This time the real detail will not been revealed until June.

"The Chancellor was right to point out that we are in a global race for investment and jobs. Sadly the lack of real opportunities announced by this Government leaves the UK less and less attractive in the global market.

"The Government claims to see infrastructure as a key element of its growth strategy but has singularly and repeatedly failed to deliver budget after budget. And time is running out as even announcing new major projects now won't deliver growth in the short term.

"Now is the time to start delivering before investors and contractors look to exploit other opportunities. Major British contractors are already looking elsewhere such as India and Sub-Saharan Africa. The drain of experience from the UK will continue if the UK Government delays real announcements on infrastructure projects."

 

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