Infrastructure Debate

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Department: HM Treasury

Infrastructure

Jonathan Edwards Excerpts
Tuesday 12th February 2013

(11 years, 3 months ago)

Commons Chamber
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Rachel Reeves Portrait Rachel Reeves
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I know that that is something that my hon. Friend has worked on carefully and is discussing with Ministers and shadow Ministers. It is worth looking at such a scheme.

The Government’s national infrastructure plan is well worth reading. [Interruption.] Given that even the Deputy Prime Minister says that the Government have got it wrong on infrastructure investment, one would think that the Minister of State, Home Department, the hon. Member for Taunton Deane (Mr Browne), might listen to the debate, rather than just chuntering from a sedentary position. The national infrastructure plan exemplifies the vacuum of leadership from this Government, with more projects being kicked into the long grass. Let us take the A14, which was described by the former Transport Secretary as “a crucial strategic route” and

“a lifeline to international markets.”

Now the Treasury says that construction might just begin in 2018. The Mersey gateway, which has been highlighted as one of the world’s most important infrastructure projects, has still not had a preferred bidder announced. Today we found out that 45 winning bids for the regional growth fund—the Deputy Prime Minister’s pride and joy—have already walked away from the process, which is taking so long, with millions of pounds of public money gathering dust in Whitehall. Delay, delay, delay.

That inaction is costing jobs. The construction sector has lost 129,000 jobs since this Tory-led Government came to power. What a waste. No wonder that John Cridland, director general of the CBI, is asking the Government where the diggers on the ground are.

Jonathan Edwards Portrait Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
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It was reported in The Guardian recently that total PFI liabilities are likely to be more than £300 billion. Will the hon. Lady confirm that, should the Labour party form the next UK Government, it will not return to PFI?

Rachel Reeves Portrait Rachel Reeves
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PFI in my constituency built three new secondary schools and helped to rebuild primary schools, as well as building Sure Start centres. I would not have wanted any of those projects not to go ahead, so I do not share the hon. Gentleman’s criticism.

It is not just independent outsiders attempting to urge the Chancellor to change course and take action or saying that change is needed. Even the Deputy Prime Minister, in what he described as a “self-critical” mood, has stated:

“I think we’ve…realised that you actually need, in order to foster a recovery, to try and mobilise as much public and private capital into infrastructure as possible.”

He did not quite get round to saying sorry for a second time, but at least he has finally stumbled upon the problem. We said that cutting infrastructure spending too far and too fast would stifle the recovery, but the Deputy Prime Minister’s brief lapse of regret came two and a half years too late. That moment of self-realisation will not help the construction worker who has already lost his job, the children waiting for their new school or the new business waiting for improved roads. We do not need mea culpas; we need the Prime Minister, the Chancellor and the Deputy Prime Minister to change course.