Government to boost RMI spend

Published:  27 September, 2012

BRIGHTON: The Government is to consider boosting spending on repairs and maintenance to provide immediate economic impact. It will look at the possibility of recycling savings made in other areas, including its current infrastructure spend, in a bid to boost spending on repairs and maintenance, chief secretary to the Treasury Danny Alexander said at the Liberal Democrat conference in Brighton. 

Mr Alexander said he accepted the arguments made by a wide range of organisations across the construction industry that increasing spending on repairs and maintenance now could provide an immediate stimulus to the construction industry and the wider economy, rather than the much longer-term boost provided by investing in major infrastructure projects.

The call to boost spending on repairs and maintenance forms a key part of the industry-wide Construction4Growth campaign, launched earlier this month. Although reluctant to make any commitments at this stage but "I do take the point that repairs and maintenance are very important and we have to get the balance right with investment in long-term infrastructure.

Mr Alexander's comments came as the Infrastructure Alliance launched a new report at the Liberal Democrat conference, calling for the Government to inject short-term funding into maintenance and minor works to provide an immediate impact on employment nad economic activity. He added that he would take "a very careful look at the report and respond in due course".

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