Autumn Statement
In the Autumn Statement the Chancellor set out a plan to tackle the cost-of-living crisis and rebuild the British economy by prioritising stability, growth, and public services. The growth priorities in turn included energy, infrastructure, and innovation. In the aftermath of the pandemic and amid supply chain disruptions, the global energy crisis, increasing inflationary pressure and political uncertainty, it will be crucial to prevent systematic vulnerability and encourage sustainable growth.
As a specialist consultancy at the heart of some of the UK’s most exciting infrastructure projects, that is proud to originate from and reside its headquarters in Middlesborough, Agilia welcomes the ongoing commitment to a programme of capital investment. Indeed, as the Chancellor said, “[w]hen looking for cuts, capital is sometimes seen as an easy option. But doing so limits not our budgets but our future.”
The commitment to Sizewell C, for example, will contribute to securing the UK’s energy security, creating 10,000 highly skilled jobs, and promoting the UK’s nuclear expertise.
Carbon Capture Utilise and Storage (CCUS) will be fundamental to supporting the government’s commitment to reduce emissions, and can provide non-weather dependent, dispatchable low carbon generation.
Connectivity from the core Northern Powerhouse Rail, High Speed 2 to Manchester and East West Rail will provide fast, more reliable services connecting people to new job opportunities.
The New Hospitals Programme will support the efficient delivery of healthcare.
The UK Government have pledged its continued commitment to critical infrastructure, including Sizewell C.
The effective disbursement of infrastructure investment will be crucial for achieving the government’s ambitions, including the levelling up agenda. Departmental continuity will be important for effective infrastructure policy, as will empowering local authorities and moving away from competitive bidding processes. We therefore welcome the government’s commitments to:
Allocating at least £1.7 bn to priority local infrastructure projects in the second round of the Levelling Up Fund.
New devolution deals including the new ‘trailblazer’ deals in Greater Manchester and the West Midlands Combined Authority by 2023.
Maintaining Departmental Expenditure Limit (DEL) budgets, at least, in line with the budgets set at the 2021 Spending Review.
According to the International Monetary Fund (IMF) a significant slowdown is projected in the UK with GDP growth forecast at 3.6% for this year and just 0.3% in 2023. The Office for Budget Responsibility estimates that living standards will fall by 7 per cent over the next two years. The recession coupled with the energy crisis and the existential vulnerability posed by the climate crisis, mean that a portfolio of approaches is necessary to support growth and well-being including the continued protection of the most vulnerable.
As outlined in the Autumn Statement, infrastructure has a key role to play. Whether through the development of delivery models that significantly reduce unit prices for consumers, safeguarding jobs, allowing businesses to grow and expand, and promoting social value more broadly.
Agilia is proud to support our clients in championing the governments growth priorities by promoting the golden threads between strategic goals, including social value creation and actual and efficient delivery on the ground. We acknowledge the challenges that many people will face over these next few years and will work to deliver our projects in a way which minimises their costs, whilst delivering crucial social value through the creation of new jobs and furthering social mobility.
