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Government to invest £22 billion in construction projects

Posted by Chloe Bennett on 20th July 2011

Minister of the cabinet office, Francis Maude, spoke yesterday at the Construction Procurement Conference and stated that further details of these figures and details will be confirmed later in the autumn.

Mr Maude Said: “The government’s construction strategy is reducing costs by up to 20% by reforming the way we procure construction projects across all sectors. However, we are still investing billions of pounds annually; with the same money we will procure more schools, hospitals, courts and prisons. Despite an incredibly difficult economic climate we are investing in and prioritizing our construction industry.”

“The government and the construction industry have a shared obligation to cut waste and find new and better ways of doing business. This is especially important when we are talking about creating first class, modern, fully functioning public service delivery buildings like hospitals and schools.”

This announcement came as a shock since there were expectations amongst the industry that construction funding would be slashed.

The Minister also revealed further details of the new Government Construction Board chaired by Paul Morrell under which:

• The Efficiency and Reform Group Steering Committee will be chaired by Andrew Wolstenholme, who will work with task groups chaired by Nick Pollard, Tim Eaton, Deborah Rowland, Mark Bew and Bill Yardley.

• The IUK Steering Committee will be chaired by Peter Hansford, working with task groups chaired by Simon Kirby, Professor Brian Collins and Steve Fox.

The full Construction Strategy can be found by clicking here.