Infrastructure and Construction: How much is the government spending?


The UK government’s infrastructure and construction spending plans have been revealed.

The Infrastructure and Projects Authority has released the latest National Infrastructure and Construction Procurement Pipeline. This pipeline will be a central pillar for the UK’s National Infrastructure Strategy, as well as a full ten-year projection of spend, which is due to be published later this year.

We reveal the government’s main focuses for infrastructure and construction and its spending plans for 2020/21 below.


Investment into infrastructure

The Government’s March 2020 Budget revealed that it planned on allocating significantly more investment to public services and infrastructure to support the country’s growth in the long term.

The Budget document stated that “for too long the UK has under-invested in infrastructure, leaving many people stuck with delays and poor service”, and it revealed several spending plans:


  • The largest ever investment in English strategic roads, with over £27 billion planned spend between 2020 and 2025. This money will support the repair of 50 million potholes across the UK, and investment in urban transport, with £4.2 billion for five-year, integrated transport settlements for eight city regions.


  • Funding was also allocated to the Shared Rural Network agreement to radically improve mobile coverage in rural areas.


  • £5.2 billion was allocated for flood defences between 2021 and 2027.


  • A £10.9 billion increase was announced to support the commitment to build at least 1 million new homes by the end of the Parliament.



National Infrastructure and Construction Procurement Pipeline

Procurements contained within the latest National Infrastructure and Construction Procurement Pipeline have an estimated total contract value of between £29 billion and £37 billion.

Many of these opportunities will be awarded to larger contractors – but this doesn’t mean that your business can’t win work here. SMEs often win government work through another larger contractor via the supply chain – an excellent way for a company to get its foot in the public sector door. A large organisation may win the contract, but that does not mean they will deliver all aspects of it. SMEs can contact the main supplier to find out whether there are sub-contracting opportunities available. This is seen as a valuable way for smaller businesses to establish relationships, win public sector business and build credentials.


The Infrastructure and Projects Authority has confirmed that procurements in this pipeline include a broad range of works across infrastructure and construction such as:

  • construction work including building, design & build and civil engineering contracts
  • repair and maintenance services
  • architectural, construction, engineering, and inspection services
  • consultancy services


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