Red tape and investment delays impact on Government targets

While the government has delivered 65 new hospitals, 500 new primary care centres and 18 000 houses, it is failing to achieve targets set for health, housing, schools and transport, says a report from the Construction Products Association.

Since 2000, the government has increased its investment in the built environment and infrastructure, up to an estimated £37 billion this year, and identified key output targets for the improvements it intends to deliver for the key public services. There has been some progress made in tackling the repair and maintenance on schools, but the backlog still remains substantial at £8 billion, claims the CPA. Existing NHS facilities have a backlog of £3·7 billion still to eliminate, and the social housing programme is behind its target, with only 18 000 out of a promised 75 000 houses built one year into a three-year programme.

Michael Ankers, chief executive of the CPA, says: “There are still too many public facilities in a very poor state of repair, which, considering we are one of the wealthiest economies in the world, is totally unacceptable.”

Despite this desperate need for action, construction companies cite government red tape as a major burden in their attempts to move forward: 73% of those polled cite it as one of their biggest hurdles to overcome in the year ahead.

David Robertson, chief executive of Bibby Financial Services, says: “Red tape has long been a frustration for the industry, and research from the Federation of Small Businesses backs up our initial findings, revealing that keeping up with the ever-changing legislative landscape still presents a burden for many firms.”