Improvements in regional infrastructure could add £175bn to the economy by 2024, according to new research by the CBI.
The analysis shows that if each region of England grew at the same pace as the best performing area within each region did between 2004 and 2014, the gain to England’s economy could be £175bn by 2024.
This, it argues, would boost productivity and give England’s regions the chance to improve links with international markets.
Shaping Regional Infrastructure demonstrates how improving the links between regions will give businesses access to a broader labour market pool and better connections to supply chains.
Rhian Kelly, CBI infrastructure director, said: ‘Infrastructure is a key driver of productivity. By making it easier for staff to get to work and by better connecting companies to their customers, markets overseas and supply chains, we could do a great deal to lift England’s productivity.
‘Moreover, ramping up trade with international partners – old, new and in all corners of the world – will be crucial to making a success of Brexit. This makes it doubly important to better connect firms to these markets, particularly through the government’s commitment to a long-term aviation strategy, improvements in getting to our air and sea ports and giving our regional airports a new lease of life.
‘A strategic plan for delivery, tailored for each region, will also be needed for firms to feel devolution will truly make a difference when it comes to infrastructure.’
A survey of businesses found less than half (47%) believe devolution will lead to improvements in local infrastructure.
