Infrastructure Insight: The UK

Synopsis

The report provides detailed post-Brexit analysis on the infrastructure market in the UK, including an in-depth assessment of the current state of infrastructure and all major projects in the construction pipeline. The report covers all key infrastructure sectors: roads, railways, electricity and power, water and sewerage, communication, and airports and ports.
Summary

Spending on infrastructure construction in the UK is set to increase at a relatively fast pace in the coming decade. The total value of the infrastructure construction market reached GBP28.2 billion in 2015, according to Timetric, up from GBP18.8 billion in 2010, and it will rise to GBP40.7 billion in 2020 (in nominal value terms).

This growth in spending is based on the assumption that a number of the large-scale transport and power projects move ahead as planned, including the GBP50 billion High Speed 2 rail network, Hinkley Point C nuclear power station, and the expansion of Heathrow Airport. However, in view of the recent political upheaval in the UK political scene and the UK's planned exit from the EU, there is a growing risk that many of these large-scale projects will be delayed or cancelled.
Scope

• A concise analysis of the administrative, economic and political context for infrastructure in the UK.

• An in-depth assessment of the current state of infrastructure in the UK, including roads, railways, electricity and power, water and sewerage, communications, airports and ports.

• A focus on main political and financial institutions involved in the infrastructure market, as well as the competitive and regulatory environment.

• For each infrastructure sector, an explanation of the key drivers of growth in new investment and an analysis of the project pipeline, with a detailed look at the prospects for major projects and the companies that have secured contracts.
Reasons To Buy

• Assess the current state of UK infrastructure, and the main drivers of investment, including the key institutions and financing methods. 

• Investigate forecasts and gain an understanding of key trends in each of the main infrastructure sectors.

• Analyze the main project participants operating in each sector, to better understand the competitive environment. 

• Identify top projects by sector, development stage and start date, to inform your expansion strategy.
Key Highlights

Timetric is currently tracking 550 large-scale infrastructure construction projects in the UK, at all stages of development from announced to execution. These projects have a total investment value of GBP405 billion (US$595 billion). 
The electricity and power sector accounts for the largest share of the project pipeline, with a total project value of GBP204 billion. This is followed by railways, with a pipeline value of GBP121 billion. 

The UK government has expressed its determination to deliver better infrastructure so as to support the economy's growth and improve opportunities for people across the country. This is in part a reflection of the fact that although the UK has a well-developed physical infrastructure, in general its quality falls below that of other advanced economies.

The government is proceeding with efforts to establish by legislation the National Infrastructure Commission as an independent body tasked with determining the long-term strategy for the UK's infrastructure development.