|
Getting your Trinity Audio player ready...
|
LONDON, UK – The Competition and Markets Authority (CMA) has launched a landmark market study into the planning, procurement, and delivery of road and rail infrastructure, aimed at supporting the UK’s long-term infrastructure and economic growth strategy.
This is the CMA’s first market study since the publication of the government’s strategic steer. The review will assess how public authorities and the civil engineering sector can collaborate more effectively to deliver major infrastructure projects that are high-quality, on time, and within budget.
A Sector Under Review
The civil engineering sector contributed £23 billion to the UK economy in 2023, yet challenges remain in productivity, procurement efficiency, and competitiveness. The National Infrastructure Commission has called for a 30%–50% increase in infrastructure investment over the next decade, while warning that systemic inefficiencies are leading to avoidable costs of 10%–25% on infrastructure projects.
With road and railway projects accounting for 70%–75% of government spending on economic infrastructure, the CMA’s study will examine:
- Whether public authorities access and apply the right data to make informed decisions when commissioning infrastructure.
- If procurement, planning, or regulatory frameworks are discouraging market entry, investment, and innovation.
- How the civil engineering ecosystem could better support productivity and long-term growth.
The review will not cover privately procured roads, minor maintenance (e.g., potholes), or HS2, which is already subject to multiple reviews.
Improving Delivery and Accountability
CMA Chief Executive Sarah Cardell emphasised the strategic importance of the initiative:
“Reliable, high-quality infrastructure is critical in accelerating economic growth. This review is a crucial step in identifying barriers holding back the sector—ensuring every penny spent delivers value for taxpayers.”
The study will follow the CMA’s ‘4Ps’ framework—pace, predictability, proportionality, and process—with a commitment to conclude within 10 months, ahead of the 12-month statutory deadline. A clear roadmap and multiple engagement channels will guide stakeholder input from across the infrastructure supply chain.
Government and Industry Backing
The study aligns with the UK’s 10-year infrastructure strategy and wider growth agenda.
“Upgrading the country’s economic infrastructure is essential for unlocking growth across the country,” said Chief Secretary to the Treasury Darren Jones. “This study will help us deliver growth with its evidence-based, independent findings.”
Industry leaders welcomed the move. Alasdair Reisner, CEO of the Civil Engineering Contractors Association, stated:
“We welcome the CMA’s focus on how more productive delivery of civil engineering can secure better outcomes and help the government meet its ambitions for growth.”
The CMA expects to publish an interim report in November, outlining initial findings and potential policy recommendations to improve market performance and long-term infrastructure delivery.
