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Infrastructure and planning top King’s Speech

Image by Marcin Nowak on Unsplash

Infrastructure, planning and transport have taken centre stage in the King’s Speech.

The first major announcements of Labour’s new government were made today (July 17) at the State Opening of Parliament.

More than 35 bills and draft bills, which will support delivery of the government’s first steps and missions to rebuild Britain, were announced. 

King Charles said: “My ministers will get Britain building, including through planning reform, as they seek to accelerate the delivery of high quality infrastructure and housing [Planning and Infrastructure Bill]. 

“They will also pursue sustainable growth by encouraging investment in industry, skills and new technologies.”

Prime minster Keir Starmer said it was “time to take the brakes off Britain”, adding new laws would “lay the foundations of real change that this country was “crying out for”.

Key points from the King’s Speech included: 

  • Planning and Infrastructure Bill – to speed up and streamline the planning process, see more homes built and accelerate the delivery of major infrastructure projects. 
  • Clean energy – a new bill will help set up the Great British Energy, a publicly owned clean-power company that will help boost energy security, create jobs and build supply chains across the UK.  Legislation will also help unlock investment in energy infrastructure, support sustainable aviation fuel production and strengthens the water regulator’s powers.  
  • Railways - new laws will improve the railways by reforming rail franchising, establishing Great British Railways and bringing train operators into public ownership.  
  • Better Buses Bill - will be introduced to allow local leaders to take control of their bus services.   
  • An Industrial Strategy Council – tasked with raising living standards in all nations and regions in the UK. It will be key in driving investment and delivering a comprehensive assessment of current and future skills needs. 
  • Skills– Skills England agency will draw together expertise from businesses, providers, unions, Mayoral Combined Authorities (MCAs) and national government. The Apprenticeship Levy will also be reformed.
  • Hand back power to communities - a bill will move power out of Westminster giving local leaders the tools they need to drive growth.  New laws will give more powers to metro mayors and combined authorities, helping support local plans that bring wealth to communities.  

The announcements have been welcome by industry. 

Kate Jennings, chief executive officer for The Association for Consultancy and Engineering (ACE) and the Environmental Industries Commission (EIC), said: “By prioritising an industrial strategy, infrastructure investment and planning at speed, in today's King's Speech, the new government is taking on board key asks from our members. 

“Investment in infrastructure and education for building the capacity of our sector are key to unlocking the UK's potential for growth. A renewed commitment to transparency and accountability will undeniably help in strengthening the stability of the entire project pipeline.

“Acknowledgement of the global importance of climate change is also welcomed. We will continue to pursue our engagement with government to address climate goals and placing nature and biodiversity at the heart of new and retrofit development. 

“Devolving transportation so that the needs of local communities are considered first and foremost also aligns with our asks for better integration of transport to support local communities as well as national needs. We see these commitments as a positive endorsement of our member's views and a good signal for our sector. We look forward to working in partnership with government to turn their goals for growth into reality." 

Richard Risdon, managing director for UK and Europe at Mott MacDonald, said: “The proposals to reform planning are absolutely central to delivering economic growth, getting Britain building and accelerating the delivery of high-quality infrastructure.  

“The other parts of the speech that I feel could be beneficial to our sector are the announcements about Great British Energy and Great British Railways, as well as the English Devolution Bill. What businesses and communities now need is to understand how these plans will be prioritised by the government and how they will be put into action quickly.

“These announcements, combined with the National Wealth Fund and the new government’s approach to attracting private investment, are very positive for the UK infrastructure sector. 

“What I see is a strong intent to develop long-term plans backed by new ideas for how to fund them but this needs to be backed up by a full three-year Spending Review this autumn.”

Colin Wood, chief executive, Europe and India at AECOM, said: “The ambitions laid out by the new government in today’s King’s Speech cannot be achieved by the public sector alone. 

“Industry has the in-depth expertise and can provide the strategic advice required to deliver the new, modernised and decarbonised infrastructure that the UK desperately needs.

“Planning reform has been long overdue. It’s the only way to avoid regulatory bottlenecks against growth and deliver infrastructure at the scale and pace needed. 

“This is one of the building blocks that will determine the success of the government’s commitments to accelerate growth, build homes and drive our energy transition through Great British Energy. 

“Increased devolution will see local councils and combined authorities rise in prominence in the role of infrastructure client. As an industry, we must harness our experience and grasp the opportunity for a strategic and connected approach which delivers positive economic and social outcomes for communities.

“These are the first steps in turning words into action, and industry is determined to rise to the challenge of making these commitments successful.”

Simon Rawlinson, head of strategic research at Arcadis, said the King’s Speech had some “excellent practical measures” including reforms to adult skills provision and the role of the Crown Estate.  

“As described, the Renter's Reform Bill is very comprehensive whereas the Planning and Infrastructure Bill is very much in outline.  

“The simplification measures proposed will need to be very extensive to have an effect - the proposed consultation can't come soon enough.  

“One measure to watch is the Employment Rights Bill.  We need to attract more talent and the measures in this bill are likely to contribute to making the industry more attractive - it needs our support.”

Railway Industry Association (RIA) chief executive Darren Caplan welcomed the speech, adding it was “a strong legislative programme for driving growth by building sustainable infrastructure and improving transport”.

“RIA and our members support the government’s pledge to establish a reformed and unified railway system under Great British Railways focused on improving affordability, reliability and performance,” he added. 

“A new body with strategic oversight and responsibility for rail can focus on meeting growing passenger demand and boosting industry revenues.

“Rail suppliers will also be positive about the previously announced plans to set out a strong and visible pipeline of rail work for the sector and to develop a long-term industrial strategy for rolling stock. 

“Accelerating new train orders and low carbon network upgrades can fast-track growth by boosting jobs and skills across the UK and we would encourage the new Government to prioritise such investment. We look forward to more details of how these commitments will be implemented in due course.”

Construction and engineering giant Costain welcomed news regarding Great British Railways and plans to introduce a bill to create Great British Energy and boost investment in renewable energy.

Sam White, managing director of natural resources at Costain, said: “GB Energy will provide industry with some assurance around the UK’s long-term approach to decarbonisation. These are positive signals, but maintaining momentum will be the real litmus test.

“Carbon capture and hydrogen have real potential to play a crucial and sizeable role in achieving the UK’s 2050 net zero target, but long-term, strategic thinking around creating interconnected infrastructure systems is needed to make this a reality.

“Accelerating improvements and upgrades to the energy infrastructure ecosystem will give confidence to investors, help with job creation, and boost regional economies, fuelling a virtuous circle that goes beyond energy security.”

Zoë Billingham, director at IPPR  - the Institute for Public Policy Research - North, said it was a “relief” to hear a new government recognise the scale of the challenges and be ready to deliver after “many frustrating years”.

She added: “IPPR North is delighted that devolution was central to the King’s Speech today and will be ‘at the heart’ of delivering economic growth. 

“Alongside a new presumption of devolution, the new Council of Regions and Nations will ensure regional leaders have a voice at the top table. The devolution agenda has ratcheted up in ambition in the last 24 hours. 

"It was also encouraging to hear local leaders will be able to take significantly more control over their local bus services, as well as the planned large-scale reform of our railways. Planning reform to get homes built is also welcome.”

Chris Fry, managing director at strategy and sustainability consultancy Accelar, said: “The 265 weeks up to the next general election takes us more or less to 2030, the end of the critical decade for creating the foundations of the green transition and so through that lens the new government is rightly in a hurry with its new legislative agenda. 

“Many of the critical big beasts of the infrastructure jungle have been targeted for some kind of reform and/or accelerated delivery: energy, water, rail transport and housing/planning. 

“Just as important for climate and nature recovery is delivering green opportunities across the whole economy and society.

“Four other announcements are notable in that regard: increased devolution to city regions/metro mayors, obligations for investment and corporate governance, a new industrial strategy and improved institutional collaboration. Ensuring that the details and implementation pathways of these and other legislative changes are climate and nature aligned is the next big task.”

David Hawkes, interim associate director of policy at the Institution of Civil Engineers, said: “Strategic, well-planned, well-delivered infrastructure improves people's lives.

“While more detail is needed on the legislation the new government has proposed in the King's Speech, it is encouraging to see the scope and ambition of its plans for energy, transport, devolution, and planning reform.

“The Institution of Civil Engineers has been calling for clear plans in these areas for some time. Now it's time to pick up the pace and deliver an infrastructure system that can meet the UK's economic, social, and environmental goals."

If you would like to contact Karen McLauchlan about this, or any other story, please email kmclauchlan@infrastructure-intelligence.com.