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26 Nov 20201 minute read

The spending review and construction

The spending review and construction

Yesterday (25 November), Chancellor Rishi Sunak announced government’s 2020 spending review, which carries several implications for the construction and engineering services sector.

A high-level overview of some of the key points is as follows:

  • Building safety funding programme
    • £30m to help deliver a new building safety regime
  • Green Industrial Revolution
    • £12bn for a ‘green industrial revolution’ that incorporates Boris Johnson’s 10-step plan to achieving Net Zero by 2050
  • National Homebuilding Fund
    • £7.1bn over the next four years to help build up to 860,000 new homes
  • Apprenticeship levy
    • From August 2021, employers who pay the apprenticeship levy will be able to transfer unspent levy funds in bulk to SMEs with a new pledge function
  • 500 schools and 40 new hospitals
    • Renewed pledge to build or rebuild 500 schools and 40 hospitals across the UK in the next five years

More information can be found in this recent report on the spending review. Detailed guidance for ECA Members will be published soon on ECA’s dedicated Business Recovery webpage.