What's Happening?
The Association for Consultancy and Engineering Group (ACE) has submitted a series of recommendations to the UK government, urging a reset of the infrastructure environment to promote long-term investment
and improve collaboration between government and engineering design sectors. The submission, made ahead of the Chancellor’s Autumn Statement and Budget, includes 18 action points focusing on planning, devolution, and growth factors. Key recommendations include committing to a 30-year infrastructure strategy, accelerating spatial infrastructure planning, and digitalizing planning and building safety systems. ACE also advocates for devolved funding settlements to empower regional authorities and the introduction of land value capture mechanisms to support local infrastructure and housing delivery.
Why It's Important?
The recommendations from ACE highlight critical areas that could significantly impact the UK's infrastructure development and economic growth. By addressing fragmented planning and outdated procurement processes, the government could enhance market confidence and ensure value for money in infrastructure investments. The focus on devolution and empowering regional authorities could lead to more efficient local infrastructure and housing projects, aligning with broader government priorities such as net zero infrastructure and digitalization. These changes could also mitigate the current skills shortage in the engineering sector, fostering innovation and long-term capability development.
What's Next?
The government is expected to consider these recommendations in the upcoming Autumn Statement and Budget. If adopted, these measures could lead to significant reforms in infrastructure planning and procurement, potentially accelerating project delivery and innovation in the sector. Stakeholders, including regional authorities and engineering firms, may need to prepare for changes in funding structures and regulatory processes. The emphasis on digital tools and skills development could also prompt shifts in workforce training and recruitment strategies.
Beyond the Headlines
The push for a circular economy approach and the removal of VAT from retrofit projects could have broader environmental and economic implications. These measures could drive sustainability in infrastructure development, aligning with global trends towards greener construction practices. Additionally, the focus on fairer risk sharing in public sector contracts could lead to more equitable partnerships between government and private firms, fostering a more stable and predictable project pipeline.
