Research from the Association for Project Management (APM) has found that confidence in the government’s ability to deliver major infrastructure projects
The Andy Burnham infrastructure boost, also referred to as the ‘Burnham Bounce’, is seeing an increase in confidence for major infrastructure projects.
This comes from a survey of UK-based project professionals which found that 64% of professionals are now more confident in the government’s ability to deliver these projects, and only 2% said they were less confident.
Trust in overall capability has also increased
The overwhelming majority of respondents, 95%, agreed that they trust the government to deliver projects well, a 10% increase from 2023, and just 5% said that they do not, an 8% decrease from 2023.
Major infrastructure projects are a large part of the government’s agenda, with NISTA having recently updated their Major Project Portfolio in April which cut the number of projects on the list down from over 200 to around 80.
Andrew Baldwin, head of policy and public affairs at the Association for Project Management, said: “Project professionals are at the heart of delivering the infrastructure that underpins the UK’s economic growth. These findings indicate growing confidence among the project profession in the Government’s ability to deliver major infrastructure projects successfully.
“With nearly two-thirds of respondents reporting increased confidence and an overwhelming majority expressing trust in the Government’s delivery capability, efforts to strengthen project leadership and delivery standards in government-led projects are being recognised by those working in the profession. This level of confidence provides the foundations for the successful delivery of the infrastructure projects needed to support the UK’s future ambitions.
“New Prime Ministers often see a ‘bounce’ in polls. In order for the government to maintain these confidence levels, the Prime Minister must prioritise and set clear goals for what he wants to achieve around infrastructure, agree risk appetite with his cabinet; and make sure projects and programmes are properly resourced. Supply chain and procurement management is the area where most project professionals feel the Government can improve on project delivery, so this should be a priority.”
Burnham to prioritise housebuilding and infrastructure, as per his speech
When entering office, Burnham made a short speech in which he assured the country that he would be bringing “the biggest change in 40 years,” including finding a “fair and sustainable” way to create more council housing, and to re-industrialise the country.
Reactions were largely positive to the speech, Craig Elder, partner specialising in public procurement, saying: “Andy Burnham appears to recognise the importance of infrastructure renewal but, given the challenging economic environment he will have to operate in and the need to prove fiscal responsibility to the markets, one option will be to turn towards public-private partnerships (PPPs) – potentially in tandem with his drive for greater regional devolution.
“Having overseen the use of PFI in a hospital building programme while Health Secretary under Tony Blair’s government, Burnham is familiar with PPPs and as Greater Manchester mayor also worked cross-party with ex-West Midlands mayor Andy Street to explore how private finance could revive the HS2 link between Birmingham and Manchester.
“The good news is that reformed PPP models have been delivering worldwide since the UK scrapped PFI without a replacement, with Scotland and Wales pressing ahead with their own non-profit distributing and mutual investment models respectively to fund schools, hospitals and roads.
“These include features that learn lessons from some of PFI’s perceived drawbacks and can be built into modern PPPs, such as proportionate risk allocation, auditable social value and strengthened accountability. In what may be music to Burnham’s ears, there is also a significant role for mayors in creating the long-term project pipeline that gives investors the certainty they need.
“With the UK having the lowest investment in fixed assets within the G7 over the past 20 years – an issue that can’t be fixed through public spending alone – it’s time to finally reopen the PPP conversation.”
Read more about the speech and reactions to it here.
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