Government investment vital to build back better

We all have heard “now it is time to build back better ”, but where and when will we start getting the shovels in and moving our heavy equipment?

The economic recovery – once the impact of the pandemic has receded – is widely hoped to be a green one, not least because of commitments to achieving a net-zero emission economy by 2045 in Scotland and 2050 across the UK.

Like many industries, the construction and property sectors have been hit hard by the effects of lockdown.

There have been some positive signs in the sector, such as a bounce-back in house sales once the market was allowed to reopen.

But there remain longer-term concerns for housebuilders over the sustainability of demand and access to affordable lending for builders and buyers alike.

Likewise, the commercial property sector is facing an existential crisis as our towns and city centres, retail and hospitality are fighting for survival against a background that threatens to reshape the built environment beyond all recognition.

This is why it is imperative governments put clarity into their plans for infrastructure investment which can under pin faltering confidence in the private sector.

The Scottish Government has produced a national infrastructure “mission”, which it says will see £33 billion of public sector investment over the next parliamentary term.

T his is estimated to support tens of thousands of jobs and stimulate the

Scottish economy by £1025bn over the next 15 years.

In September , as part of the mission, the government published its draft infrastructure investment plan, with details of around £24bn of major projects.

These include investment of around £1.6bn for decarbonising heating in housing and public sector buildings and £350 million for developing woodlands.

Both provide useful support for net-zero carbon plans, as will the £2.8bn allocated for affordable and social homes and a further £4bn for Scottish Water to address ageing pipelines.

Other key projects mentioned in the draft include the delayed £ 600m Reaching 100% programme, aimed at delivering superfast broadband to all premises in Scotland.

Contract disputes which delayed the most challenging part of the programme rollout – affecting about 100,000 rural premises across the north and north-east, known as Lot 1 – have been eased.

The government is confident rollout will be completed by the end of next year.

This connectivity will be essential to supporting significant economic activity, including tourism, all the firms that are already reshaping their business models through extending home working and, let us not forget, the

massive opportunities we all have to sell products and services online across the globe.

Can we get there faster? We believe so and if the government goes into “fast gear”, this will play an essential role in the recovery of the Scottish economy.

The government also pledged to double investment in bridge and roads maintenance to £1.5bn over the next five years.

Although road-building projects face criticism from environmental groups, it is essential they go ahead, while other priorities must continue to be identified and addressed.

This is particularly the case as key infrastructure such as bridges and roads are increasingly hit by extreme weather driven by climate change. We would ask for this investment to be increased.

Further projects outlined include £ 2bn for school improvements and £520m for healthcare infrastructure, including more than £220 min the Baird and Anchor project at Aberdeen Royal Infirmary.

But there is still a lack of detail and a need for a more coherent infrastructure strategy.

Now is also the time to ensure the government procurement system is aimed at businesses across the supply chain, including small and medium-sized enterprises.

Local involvement in recent contract allocations in the offshore wind sector is dire and must be urgently addressed.

Likewise, the skills landscape must be adapted to the needs of the businesses that will be delivering these projects.

Inevitably, governments – in Ho lyrood and Westminster – will be stretched to their limits by the impacts of a global pandemic as well as managing Brexit.

We understand this, but now is not the time to take the foot off the pedal of economic growth.

Businesses need clear leadership and a massive acceleration of all infrastructure investment that will support and shape where we live, travel, work, invest and connect.

Now is not the time to take the foot off the pedal of growth

■ Governments must invest in projects like the new Baird Family Hospital and Anchor Centre.