Simplified planning consents in specific areas, enterprise partnerships to replace regional development agencies and a national infrastructure plan were about as good as it got for regeneration in the Budget and meanwhile government departments are wondering how they will cope with 25% cuts.
George Osborne's austerity budget aims to cut the deficit and reduce the debt and is based on hopes these measures will stimulate enough growth to compensate for big reductions in the public sector.
But there was virtually no mention of regeneration, which will basically be left to the private sector.
"The forecast shows a gradual rebalancing of the economy, with business investment and exports playing a greater role and government spending and debt-fuelled consumption a smaller role," said Mr Osborne.
"A sustainable private sector recovery built on a new model of economic growth, instead of pumping the debt bubble back up."
He said a commitment to cut departmental budgets by 20% had been inherited from the previous government, but an average real cut of 25% over four years would actually be required.
The Budget documents reveal there will be a white paper later in the summer on RDA abolition which will set out details of:-
- local enterprise partnerships, particularly in English cities to improve co-ordination of regeneration, transport, skills and economic development;
- an incentive framework for local authorities to support growth;
- simplified planning consents in specific areas with potential for growth via local development orders.
The new Infrastructure UK will lead Treasury work on greater private investment in infrastructure and improvement of planning and delivery.
A national infrastructure plan will be published in the autumn setting out goals for public and private investment.
"IUK will also carry out an investigation into how to reduce the cost of
delivery of civil engineering works for major infrastructure projects," says the Budget document.
"This will be chaired by Terry Hill, chair of transport market, Arup."
