Chancellor boosts national infrastructure agency powers



Chancellor Philip Hammond has announced plans to make the National Infrastructure Commission (NIC) a permanent executive agency.


The commission was launched on a temporary basis in October 2015 to assess the UK’s need for national infrastructure and boost certainty for investors by taking a long-term approach to decision making.

Under the new plans, from January 2017 the NIC will be given its own budget, freedom and autonomy to help plan investment on a national scale.

Mr Hammond said: “We are determined to build a bigger, better, Greater Britain – a country that works for everyone.

“…I have set out how we are putting the NIC at the very heart of our plans to ensure Britain’s infrastructure is fit for the future.

“It will independently define our long-term infrastructure needs and help prioritise, plan and ensure value for money as this investment creates a modern Britain – fit to take on the world.”

As part of the announcement, Mr Hammond revealed that Sir John Armitt, former chief executive of Network Rail, would serve as interim deputy chair of the NIC with immediate effect.

The chancellor also launched a call for ideas regarding areas that the NIC should study next.

This follows reports identifying the benefits of Crossrail 2 and improving northern connectivity.

Lord Adonis, interim chair of the NIC, added: “The NIC was established to transform the way we plan and deliver major infrastructure projects in this country through expert analysis, long-term thinking and strategic advice.

“[This] announcement is a big step towards providing the commission with the independence it needs to do the work.

“Now it is vital that we get the details right to ensure that the NIC has everything it needs to get on with the job.‎”

Mr Hammond’s announcement builds on some £100bn of investment in infrastructure during this current parliament.

Earlier this year, Development Finance Today was informed that this surge in infrastructure could spark a ‘housing boom’.



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