The chancellor should use his forthcoming Autumn Statement to increase public spending by £6bn a year, boosting investment in local transport infrastructure, business leaders have said.
The CBI said part of this investment should be allocated to the Local Growth Fund, which was five times oversubscribed in the latest funding round.
It is also calling for the chancellor to commit to the fast delivery of over £425bn worth of planned infrastructure investments, with clear timeframes and implementation plans.
Carolyn Fairbairn, CBI director-general, said: ‘With interest rates at rock bottom, now is the time for the UK to put serious effort into improving our creaking infrastructure.
‘We would like to see £6bn more spent each year on public investment: improving our transport and digital network, building more homes and extending regional funding. This can be achieved by increasing Public Sector Net Investment to 2% and delivering on previous infrastructure project commitments.’