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The UK’s National Infrastructure Commission

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1 The UK’s National Infrastructure Commission
September 2018

2 What was the problem? “There is growing evidence that the UK’s infrastructure has not been renewed or enhanced when needed…successive Governments have failed to set strategic priorities for infrastructure based on clear projections of future needs.”

3 What was the problem? “After years of inadequate investment in skills, infrastructure and innovation, there are longstanding structural weaknesses in the economy, all rooted in a failure to achieve stable planning, strategic vision and a political consensus on the right policy framework to support growth.”

4 Key milestones Labour manifesto proposes a new body
Established as an executive agency 2015 2016 George Osbourne announces creation of NIC National Infrastructure Assessment published First three reports published 4

5 The Commission is a catalyst for a different approach
From… Overly cautious Piecemeal Siloed To… Neutral Independent Cross-sectoral Consensus Transparent & consultative Strategic Long term Slow Stop-start Contentious Expensive Unreliable Disruption Delayed Unplanned Opaque Unpredictable

6 The UK has a range of independent economic bodies
Policy advice Executive function

7 Status of the Commission
The Commission is an agency of HM Treasury, with a Charter guaranteeing our independence, but no legislation Pros Independence Quick and easy process Cons More fragile No legal requirements on decision makers

8 Governance: the Commission

9 Scope The Commission covers economic infrastructure: Energy Transport
Digital Water & sewerage Flood risk Solid waste Overlaps with housing, but not housing itself Not ‘social infrastructure’ Icons: Renewable energy by Made by Made; bridge By Cezar de Costa, BR; internet by Markus; Water by andriwidodo; Flood by Luis Prado; waste reduction by Maxim Basinski: all from Noun Project 9

10 Objectives Three objectives: support sustainable economic growth across all regions of the UK improve competitiveness improve quality of life

11 Role Three parts to our role: National Infrastructure Assessment
Long-term infrastructure plan Once every 5 years Across all economic infrastructure Studies Specific in-depth reports Commissioned by Govt, with ToR Annual Monitoring Report Holding Govt to account for agreed recommendations

12 The fiscal remit and bills
The Commission has to operate within a budget constraint “The Commission must be able to demonstrate that its recommendations … can be accommodated within gross public investment in economic infrastructure of between 1.0% and 1.2% of GDP in each year between 2020 and 2050” “The Commission should include a transparent assessment of the impact on costs to businesses, consumers, public bodies and other end users of infrastructure”

13 The UK has a separate body for infrastructure delivery
Sits within Government Covers both social and economic infrastructure Responsible for the overall project delivery system Building delivery capability Supporting private investment Setting up projects for success Measuring and improving performance

14 Reflections on the first three years
The creation of the Commission was well- received Setup still to be proven in the long term Stability among Commissioners is helpful The Commission’s independence is key


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