The UK‘s shortfall in productivity can be solved by greater devolution, public services reform and locally led investment in infrastructure, according to two new reports unveiled at the Connected Cities Summit at the QE2 Centre in London on Friday 11 September 2015.
The Core Cities and Bilfinger GVA co-hosted the conference, attended and presented by City leaders, Mayors, business leaders and key decision makers, to launch the two new reports. Each responds to the Comprehensive Spending Review (CSR) by setting out the critical requirements from both a regional business and public sector perspective.
Bristol Mayor George Ferguson spoke at the Summit and was joined by Jo Davis, Regional Senior Director of Bilfinger GVA in Bristol, who identified where both national and regional infrastructure investment priorities lie.
Bilfinger GVA’s report, entitled ‘UK Infrastructure: unlocking UK cities and Commercial Property’ calls for major changes to the way infrastructure, from broadband to roads, is funded and delivered, and outlines how investment in information and communication technology is a major driving force behind increased productivity.
The summit examined the evidence that whilst the UK is increasing its focus on improving travel, there is a risk that digital infrastructure remains neglected. Of the major infrastructure projects currently identified by the Treasury, the £1.8 billion cost of improving digital connectivity only accounts for 1.5% of total expenditure, compared to £91.5 billion on rail (75.8%).
Jo Davis called for greater broadband speed in UK cities including Bristol to encourage global connectivity and business. “Internet speeds at 30mb in our cities are some of the slowest in Europe,” she said. “We need to aim for 100mb. Many developed and emerging economies are investing heavily in digital infrastructure and the UK is at risk of being left behind if average broadband speeds do not match those in competing economies.
“All infrastructure connections are critical,” she continued, “and as the development of Grade A office space across the country is opening up opportunities for further development, so connections between the cities need to be developed alongside.”
Core Cities UK launched a new prospectus entitled ‘Unlocking the Power of Place’ calling for a joined up, ‘place-based’ multi-year approach to the Comprehensive Spending Review – the Government’s spending plans for this Parliament – so UK investment can be deployed in the best way possible to drive growth, rebalance the economy and contribute to sustainable deficit reduction across the UK’s biggest cities.
Speaking at the summit, Mayor Ferguson said, “People are attracted to good places. I am a strong believer in creating a good environment. The pressure on housing in Bristol is great and the gap between rich and poor exacerbated by short housing supply and inflated prices. The gap is arguably more pronounced than the rest of the country. Investment in housing is crucial.”
Jo Davis continues: “We were pleased to be able to present our views alongside regional city and private sector business leaders to identify where the investment priorities sit for infrastructure; what approach to the allocation of public resources regional cities need from Government to realise these projects and their potential; what differences these could make to the regional and national economy; and what opportunities and challenges lie ahead for UK and overseas investors and developers.”
Sir Richard Leese, Core Cities Chair concluded: “Economic growth is important but we should not pursue growth for growth’s sake. We need to make sure more people share in future prosperity, reducing inequality and the burden it places on the state. Our cities have a proud track record of working with partners across the private sector. But it’s time to fully realise their potential and give cities a greater role in building the new infrastructure our nation so badly needs.”