The Construction Industry Council (CIC) has called on the government to consider developing a long-term strategy for construction and the built environment.
The appeal came as part of the trade body’s response to a Department for Business and Trade (DBT) consultation on Invest 2035: the UK’s modern industrial strategy, which closed last week.
A green paper published in October said the 10-year strategy was likely to focus on eight “growth-driving” sectors: advanced manufacturing; clean energy; creative; defence; digital and technologies; financial services; life sciences; and professional and business services.
The CIC said construction should be seen as a critical foundational sector for the country, as the government’s missions and challenges are “inextricably tied to the broader construction and built environment sector”.
It said: “We support the idea of a long-term sectoral strategy for construction with meaningful input from built environment professionals. This strategy must essentially be a living document, offering the stability needed to encourage investment in core areas yet capable of being moulded and improved to reflect future events and
innovations.”
It added that a “well thought out and comprehensive plan for construction and the built environment” must be seen as a “critical foundational sector to realise the ambitions of Invest 2035”.
In particular, CIC cited the industry being tasked with building 1.5 million new homes in the next five years.
Other challenges include unlocking regional growth, meeting net-zero carbon emissions, building infrastructure such as new prisons, data centres and hospitals, fostering healthier communities and increasing tax take through a buoyant economy.
CIC chief executive Graham Watts said: “Construction accounts for an estimated 7 per cent of GDP and employs over two million people across all the UK. Over and above this it is an enabler sector for much of the UK economy, not least the growth sectors highlighted in the strategy document.
“Recent projects such as the Stirling Prize-winning Elizabeth line and the shortlisted King’s Cross masterplan show that our built environment sector retains its world-leading expertise in the development of high-quality, high-value, sustainable infrastructure.”
He added: “The challenge for industry and government is to work together to spread these benefits across the UK.”
A long-term, data-driven commitment to the construction industry would bring benefits including saving the NHS money by improving poor-quality homes and reducing the £22bn a year expense to the taxpayer to maintain the government’s property portfolio, the CIC said.
It also pointed out that construction is a major contributor to greenhouse gas emissions and so can play a crucial role in transitioning to a low-carbon, low-waste economy.
The CIC also contributed to a response from the Construction Leadership Council, which has yet to be published.
In its response the Institution of Civil Engineers (ICE) called for the government to develop certain, stable policies if it wants to attract more investment.
It also called for “a systems thinking approach” where individual departments work more closely with the Treasury in order to ensure money is directed to the right places.
The ICE added that the current state of transport infrastructure is another barrier to investment.
“Clarity on the strategic role of transport will help change how investment decisions are made,” it said, calling on policy makers to shift their focus from economics and benefit-cost ratios to wider social benefits.
Elsewhere, the British Property Federation said the strategy would only help deliver growth if it recognises the critical role of the property sector in providing the right buildings and workplaces, and the homes and communities that workers and their families need.
Melanie Leech, its chief executive, said: “The property sector underpins every part of our lives and businesses cannot grow and drive a strong economy unless they have fit-for-purpose modern facilities and the workers they rely on can find homes for their families.”
