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Making the potential for job creation central to the argument for greater infrastructure spending is key to ensuring public support.
This is the view of Lawrence Slade, chief executive of the Global Infrastructure Investors Association (GIIA), who spoke to Utility Week on the back of its poll on public attitudes towards infrastructure and investment.
Slade also backed calls for statutory guidance to regulators around the need for investment in net-zero projects.
GIIA’s survey, carried out by Ipsos Mori in the summer, found there is already a strong base of public support for infrastructure investment, with 83 per cent believing it will create new jobs and boost the economy and only 2 per cent disagreeing with that statement.
It also showed a significant increase in support for private investment if it helps Britain get the infrastructure it needs, with 65 per cent in favour (up 7 percentage points from 2019) and only 9 per cent opposed (down from 13 per cent in 2019).
On the subject of foreign investment in the UK, appetite appears to have dropped since 2019. In the latest survey, 42 per cent agreed they were “fine” with foreign investment in new infrastructure if it means it is better quality, versus 24 per cent who disagreed. This compares to 48 per cent and 20 per cent respectively in the previous year.
The Global Infrastructure Index showed flood defences and solar energy infrastructure as the top priorities for investment along with rail (each chosen by 42 per cent of respondents). In each case the percentage choosing this as a priority area was up on last year. There was also an increase for wind energy and a significant hike for water supply and sewerage, with nuclear seeing a more modest uptick. However, electric vehicle charging infrastructure was picked by 29 per cent this year as opposed to 32 per cent in 2019.
Slade told Utility Week: “What the survey says to me is that overall, the public really support infrastructure developments. But we need to be clear around what we’re doing, how we’re doing it, and why.
“To make a real difference, it’s not just on the companies now. Government and regulators have a very important role to play.”
He added: “If you have a member of the public who is slightly dubious about the money being invested in infrastructure, if they’re given clear signals that this investment is going to be creating more jobs for generations, that it’s going to help the economy and it’s going to provide a cleaner, better environment, they very quickly come around to that.”
Slade said he hoped that Boris Johnson’s promised ten-point plan towards a green industrial revolution and the upcoming energy white paper would help put the debate in context. He pointed to results from the survey, which showed 69 per cent believe government should prioritise infrastructure investment as part of the Covid-19 economic recovery, with just 8 per cent disagreeing.
But he stressed that a unified message is needed which may require a change of approach from regulators.
He said: “If you look at the current issues in the UK around the regulatory settlements, in energy in particular, we’re missing strategic guidance from the government, to give the regulator those clear instructions. I think that’s why things have got perhaps slightly out of step in terms of the messages coming out of government, regulator and the industry. To get the public onside for net zero we need everyone on the same page.”
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