UK Infrastructure: Isn’t It About Real Business Competitiveness in Global Market?

Maybe it’s me, but so much of the talk in the UK about infrastructure seems to revolve around the things that planners and political pundits like to talk about, but not necessarily the things that matter most in the real world. To me, what’s missing is what business requires to fuel healthy next-generation economic growth, which will center substantially on whether the UK can compete to get products and people in and out, and around the country. Infrastructure to service residential developments is important but those people need good jobs and that will start with superior business-enabling infrastructure.

I know devolution is a critical matter but in the end that’s about which government body/bodies are in “control”, right? Yes, important for sure and more local and regional control would be a huge step forward. But that alone won’t get to the heart of the matter which is really about creating a near seamless trade environment with the globe, allowing efficient movement of business people and high-value cargo to key foreign markets. At this point in time, the UK get a middling grade at best. That’s not good enough.

Some observations and suggestions – Issues like improved port-rail connectivity, developing standout air cargo connectivity and of course motorway capacity to key growth hubs are the primary issues for the businesses that we advise. How can we promote a next-gen economy in the North with poor air cargo capacity to North America and Asia? The answer is that we can’t. A large percentage of high-tech manufacturing requires far better air connectivity than exists in the North and an undependable ground transit to one of the UK’s few cargo airports to the south is just unacceptable. It might work some of the time, but we’d never let one of our clients assume the supply chain risks associated with high-value, extremely time sensitive cargo being stuck on the M1 and missing their delivery promise to a client in Los Angeles or Tokyo.

There should be an intense focus on mode-interaction and interconnectivity in recognition that airports aren’t about just airplanes and seaports aren’t about just large cargo vessels. All of that cargo moving in and out transfers to another mode. Yes, it would be nice and tidy for all manufacturing and distribution to be located at onsite “portcentric” environments, but in reality this is largely a creation of advocates and planners. Surely, there is a story around investment attraction to and in the immediate vicinity of an airport or seaport (my firm is working on a number of these projects right now). But, in a country as small as the UK, with heavy land development controls, relatively short distances and communities that are in need of revival it seems that infrastructure connectivity to/from/and near important global transportation hubs should be top of mind.

See the article from yesterday about the connection to the CSR, infrastructure and devolution. Note that the article doesn’t quote a shipper/trading business.