Chancellor moves to calm fears of spending cuts ahead of Autumn Statement
George Osborne will today promise to prioritise infrastructure spending in next month’s Autumn Statement.
The chancellor will say that the government would spend “a greater proportion of our national income on capital investment” than the last Labour administration did, the FT reports.
This will include £100bn earmarked for projects including housing, road building and energy projects.
Osborne will unveil the plans at the launch of the infrastructure commission in York today.
The commission will set out plans every five years for the country’s most pressing infrastructure investments.
Osborne will say that infrastructure is not an “obscure concept”, and that “it’s about people’s lives, economic security and the sort of country we want to live in”.
He will add: “That’s why I am determined to shake Britain out of its inertia on infrastructure and end the situation where we trail our rivals when it comes to building everything from the housing to the power stations that our children will need.”
Since Osborne became chancellor in 2010, infrastructure investment has fallen by 5.4%, according to the FT.