New report calls for infrastructure reform as UK found to pay more than international peers
Britain could save billions of pounds annually if it reduced the cost of delivering infrastructure projects to levels seen in comparable countries, according to a new report, Building More for Less, published by Britain Remade and the Centre for British Progress.
image: HS2
The report argues that the UK consistently pays more than international peers to deliver major transport and energy infrastructure and estimates that around £8.3bn a year could be saved through lower project costs and more efficient delivery processes. The analysis compares hundreds of infrastructure schemes across a range of countries and concludes that British projects cost significantly more on average than similar projects in nations including France, Germany, Spain, Italy, Canada and South Korea.
Transport infrastructure features prominently within the report's findings. According to the analysis, rail, road and tram schemes in Britain are among the most expensive in the comparator group, with UK projects on average around 65% more expensive than equivalent international projects. The report highlights examples including rail electrification, where costs in the UK were found to substantially exceed those in Germany, while urban tram schemes in Britain were also found to cost considerably more than comparable projects in European cities.
The study also points to broader issues affecting transport delivery beyond headline construction costs. It argues that the UK experiences lengthy pre-construction periods, extensive planning requirements and fragmented project pipelines that create inefficiencies and increase risk for developers and contractors. Previous analysis cited in government and industry reviews has similarly identified the UK's planning and approvals process as a significant factor affecting cost and delivery times.
For roads, the report suggests the UK performs particularly poorly in managing cost escalation and delays. Comparative analysis referenced in wider infrastructure studies has found British road projects to experience a high frequency of cost overruns and relatively long development periods. Rail projects were found to have some of the highest unit costs among peer nations, although analysts note that factors including tunnelling requirements and project complexity can affect comparisons.
The report's publication comes amid a broader policy focus on accelerating infrastructure delivery and improving productivity. The government has previously identified delays, regulatory complexity and uncertainty within the planning system as contributing factors to higher infrastructure costs and slower project delivery.
Britain Remade describes itself as a campaign and policy organisation focused on accelerating the delivery of infrastructure and growth projects across sectors including transport, energy and housing. The Centre for British Progress is a think tank focused on economic growth, innovation and long-term policy development aimed at improving UK productivity and prosperity.