Budget Statement

Lord Mair Excerpts

Friday 12th March 2021 Lords Chamber

[Lord Mair (CB) [V]]

My Lords, I apologise for the problems with technology.

I speak as an engineer and will make three points. First, a number of the Chancellor’s announcements will be welcomed by the construction and infrastructure sectors. Investing in infrastructure drives long-term productivity improvements. In the short-term, it is a major stimulus of economic activity. The expectation that the new UK infrastructure bank will help support £40 billion-worth of infrastructure is especially welcome. The bank can play a crucial role in catalysing investment in projects to support economic recovery and meet net zero requirements.

Secondly, skills and innovation are emphasised in the Budget. The Government’s ambitions on net zero, infrastructure and digitalisation are threatened if the UK does not have the required number and diversity of people with engineering and technical skills to deliver. New initiatives have been announced for infrastructure, especially in relation to green stimulus programmes, modern methods of construction and digitalisation. These will involve welcome new employment opportunities, but they require extensive technical training, upskilling and reskilling. To achieve this, the UK must now plan for its long-term engineering and technical skills need, with an education system fit for the future.

Thirdly, net zero by 2050 must be a major priority, not least for the construction industry. The Construction Leadership Council has recently announced ConstructZero, a cross-industry change programme to drive carbon out of all parts of the construction sector. This includes maximising modern methods of construction, increasingly employing off-site manufacture, innovative sensing technologies and digitalisation. All this will need more smart engineering. We will need a lot more young engineers.