Government urged to get a move on with infrastructure improvements

Business leaders are asking the government to ‘get on with it’ when it comes to their improvements to the infrastructure of the UK, including the very controversial addition of a third runway at London’s Heathrow airport. They hope that the completed infrastructure will help to boost the economy.

Only about 35% of companies believe that policies enacted by the coalition will help to increase the amount that is invested in the infrastructure of the city according to a new report published by the KPMG and the CBI. Head of the CBI, John Cridland, stated that there was not enough government action to match how much talk there is about the subject.

Cridland continued to say that there have been a lot of new announcements put out there by the government but most people do not think that the announcements are actually leading to any change. About two-thirds out of the 568 companies that were surveyed responded that the infrastructure in the UK is not as developed as other infrastructures within the EU. An additional 43% stated that the infrastructure was actually worse than other economies within the EU.

Today many businesses consider the quality of the infrastructure in the UK to be barely equivalent with an emerging-market economy. KPMG partner, Richard Threlfall stated that confidence in the infrastructure is slowly starting to fall away with 43% of businesses believing that the coalition would be better last year, but this year the figure has dropped down to 35%.

The good news for the Government is that the UK Guarantees scheme valued at £40bn has received a 60% positive approval from the survey respondents.