Ed Balls’ announcement today, that a Labour government will legislate for an independent National Infrastructure Commission in its first queen’s speech after the election, will find strong support from business leaders, 89 per cent of whom – according to a recent CBI survey – support the policy.
The UK has over many decades underinvested in key infrastructure, which is why the World Economic Forum has ranks the UK twenty-seventh for the overall quality of infrastructure in its 2014/15 Global Competitiveness Report. Our long term infrastructure planning is weak; there is far too much stop-start decision making and investment; forging a political consensus in key areas, such as airports and energy, has proved notoriously difficult.
The role of an independent commission would not be to replace government, parliament and the democratic process, but to inform and strengthen them.
A national infrastructure assessment would be drawn up by the commission from an evidence based assessment of the country’s infrastructure needs over the next 25-30 years. It would be presented to the chancellor to take to parliament – with the government having to justify any change it made to the plans before doing so.
The commission would also have the opportunity to comment on where the government’s detailed plans for individual sectors fell short of the national assessment – demonstrating that Labour is serious about building an infrastructure network suitable for decades to come.
Our proposed commission is not a dangerous innovation without precedent. As a policy maker, I have long believed that R+D often stands for ‘rob and duplicate’ – which is precisely what we intend to do. Australia has a successful commission, Infrastructure Australia, which is similar to that proposed today. It applies to infrastructure the systematic, impartial advice and analysis which is taken for granted in other spheres.
Examining the landscape closer to home, it is precisely the principle behind the present government’s decision to establish the Office for Budget Responsibility in 2010 to bring independent analysis and advice to bear on fiscal policy, although of course decisions on taxes and spending are a matter for government and parliament. Labour has endorsed the OBR, and it is here to stay. Similarly lasting is the National Institute for Health and Care Excellence set up by the last Labour government, which makes recommendations on the funding of NHS medicines and treatments based on evidence of clinical and cost effectiveness.
A National Infrastructure Commission would play an analogous role; indeed, the Davies Commission set up by the government to recommend a strategy for extra airport runway capacity in south-east England, is precisely such a commission, but with a single issue remit. The failure to resolve airport capacity issues in south-east England over the past 15 years is reflective of the country’s historic approach to big infrastructure decisions – delays, dithering and wasted opportunity. The plan we propose today will change that.
We know Britain can do better. London 2012, the greatest infrastructure project in Britain since the Victorians was a model of national purpose, successful planning and effective delivery. If we can make an outstanding success of the Olympics there is no good reason why we cannot do the same in modernising our transport systems, our utilities, and our housing. 2012 was Britain at its best: let’s make it the model for the future under Labour.
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Andrew Adonis is shadow minister for infrastructure
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