Balfour calls for small infrastructure project push

Balfour Beatty has called for the Government to push ahead urgently with shovel ready small infrastructure projects to quickly stimulate the economy.

The firm has identified a host of small scale but big impact infrastructure projects that would be quickly implementable.

Balfour argues the road, rail and flood defence schemes would fill the gap between the start of major scheme like HS2, Heathrow’s third runway and Crossrail 2 allowing contractors to invest in future skills now.

Today the firm published its report, Small scale, big impact: infrastructure and economic regeneration, also calling for an overhaul in the way the economic benefits of infrastructure spending our evaluated.

Last month Balfour warned that Brexit threatened to worsen the skills gap as foreign workers left the country after the Brexit vote.

Leo Quinn, Balfour Beatty Group Chief Executive, said: “While major infrastructure investment will be vital to the strength of the UK over the mid-term, we believe there is also a way for the government’s industrial strategy to drive rapid economic stimulus, with considerable geographic precision.

“As of today a number of road, rail, public realm, flood defence and construction projects exist which meet the Chancellor’s tests, in many cases have been approved, but are stalled by lack of funding.

“Taking advantage of current low borrowing costs to select and implement those with potential to bring maximum impact on a localised basis would quickly disperse uncertainty and set the country on the path to an economic growth that works for everyone.”

“Key recommendations within the paper include the need for a solid project pipeline; the importance of considering alternative economic modelling which makes a more robust economic case for infrastructure investment more broadly across the country; ensuring that fiscal stimulus is not directed solely towards new infrastructure; and that there is an early and integrated policy response to the skills shortage.”

from Construction Enquirer http://www.constructionenquirer.com/2016/11/10/balfour-calls-for-small-infrastructure-project-push/

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