Ahead of the Autumn Statement this week, the Construction Products Association is urging the Chancellor to shift from current to capital spending in order to inject funding into repair, maintenance and infrastructure, as outlined in the Association’s submission to Treasury last month.
Commenting, Chief Executive of the Construction Products Association, Diana Montgomery said, ‘Government has grasped the importance and the need for improved infrastructure as part of the solution for growth. It is vital that the Chancellor focuses on capital investment in ‘shovel ready’ repair and maintenance projects that are quick to get off the ground with framework contracts and planning already in place.
‘Current spending, such as spending on welfare and pensions, is set to rise from £629 billion to £674 billion by 2013/14, yet government is cutting capital investment, by 21% over the same period, even though independent economic research shows that for every £1 invested in construction, the economy benefits by £3.’
The Association has also called for government to play a crucial role in providing householders with incentives to invest in measures that will save energy.
‘We welcome the government’s Green Deal initiative but would like to see more being done to encourage its take up. If the Green Deal were to provide only 10% of what the Energy Minister stated it would do, this would generate an additional £4 billion for the economy as a whole. Furthermore, this activity would benefit SMEs and boost employment, throughout the country and not just in the South-East.
‘Despite Treasury being more vocal on infrastructure investment in recent months, most schemes have struggled to get off the ground. We hope that any announcements made in the Autumn Statement this week do not share a similar fate.’
ENDS
NOTE TO EDITORS:
The Construction Products Association represents the UK’s manufacturers and suppliers of construction products, components and fittings. The Association acts as the voice of the construction products sector, representing the industry-wide view of its members. The sector has an annual turnover of £50 billion and accounts for 40% of total construction output.
FOR FURTHER INFORMATION CONTACT:
Simon Storer
Communications and External Affairs Director
Construction Products Association
Tel : 020 7323 3770
Fax : 020 7323 0307
Mobile : 0770 286 2257
E-mail : simon.storer@constructionproducts.org.uk
Nicola Smith
Public Affairs Manager
Construction Products Association
Tel : 020 7323 3770
Fax : 020 7323 0307
Mobile : 0772 0557 065
E-mail : nicola.smith@constructionproducts.org.uk
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