Building boss: UK must invest in rail and its airports NOW

BRITAIN’S airports must be upgraded without delay if the country is to retain its power as a trading hub, a top building boss has said.

John Laing chief executive Olivier Brousse believes the nation’s infrastructure needs a major overhaul – and called on the Government to back growth.

Chancellor Philip Hammond is widely expected to announce fresh public spending in his Autumn Statement as he seeks to stave off a possible downturn.

Government borrowing costs have fallen to record lows in the wake of the Brexit vote as investors plough money into safe assets including UK gilts.

Heathrow and Gatwick have been battling to win support for another runway, with a decision due in October.

‘Whether it’s Gatwick or Heathrow is for the Government to decide. But the sooner they decide the better, because this country needs a new runway and more capacity,’ Brousse said.

He also called on the authorities to invest in the railway network, energy and flood defences.

Brousse said international firms still saw the UK as a ‘great venue’ for investment and there was ‘absolutely no doubt’ investors would back British projects, despite the uncertainty of Brexit.

It came as Laing’s profits more than trebled to £108.3m in the first half of 2016, up from £32.6m a year earlier, partly driven by a windfall from the drop in the pound, boosting the value of its foreign investments.

It is bidding for public-private contracts worth £1.3bn, up from £1.1bn a year earlier.

The dividend has been hiked by 15.6pc to 1.85p per share. Shares rose 7.5pc, or 17.7p to 254p.

Laing was not the only builder to announce a strong set of results yesterday as the industry largely shrugged off the Brexit vote.

Half-year profits at building materials giant CRH jumped from £53.9m to £348.3m, driven by growth in the Americas and the £4.9bn acquisition of assets from rivals Lafarge and Holcim.

Shares rose 2.9pc, or 71p to 2540p.

Profits at commercial property developer Henry Boot rose 48.6pc to £20.8m in the first half of 2016. Shares were unchanged at 205p.