Capital Economy, Business and Finance
Rachel Reeves reckons the secret to improving feeble UK growth lies in the unblocking of major infrastructure projects.
She may be right, but it’s not certain she’ll still be in the job by the time the impact is felt. In a speech aimed at the business community, the chancellor spoke of “supply-side expansion of the nation’s productive power” and a revival of “animal spirits”.
In practice that means: backing plans to build a third runway at Heathrow airport; building “Europe’s Silicon Valley” between Oxford and Cambridge; approving nine new reservoirs; the redevelopment of Old Trafford in Manchester; investments in mining and EV charging points; transport connections in the north of England; and signing off a 350,000-page planning document for the Lower Thames Crossing.
Environmentalists are in uproar while business lobby groups called the announcements “smart”.
The prime minister and seven other cabinet members have previously voted against or opposed Heathrow’s expansion.
