A poor record in the delivery of major infrastructure projects is hindering the Welsh economy and the productivity of its SMEs.
That is the conclusion of a new report from FSB Wales, entitled Are We There Yet? A Roadmap to Better Infrastructure in Wales, which calls for a new cross-party consensus approach to develop a 30-year plan for Wales – one that also provides more equitable investment, from road to broadband, for rural areas.
It also said the Welsh Government’s National Infrastructure Commission for Wales (NICW), while only acting in an advisory role, should have more teeth and should had been the vehicle to look at alternative solutions to address growing traffic congestion on the M4 in south Wales, after First Minister Mark Drakeford earlier this year decided not to proceed with a £1.3bn motorway relief road project south of Newport.
That role has been given to a new commission chaired by Lord Terry Burns. However, its other members have yet to be confirmed by the Welsh Government and an interim report, initially promised by the end of the year, will now not be completed until next spring.
While the Welsh Government had no say in the 海角视频 Government’s decisions not to electrify the Great Western Mainline to Swansea and not to provide the required strike price for the proposed Swansea Bay tidal lagoon project, the report claims there are geographical imbalances in where investments are made in Wales.
The business body is therefore recommending that a minimum of £100m be given to regional authorities to help develop local infrastructure priorities.
The Welsh Government is investing over £6.5bn in capital funding over the period 2018-19 to 2020-21 and this will be further boosted through innovative finance initiatives, borrowing and other sources of funding.
As responsibility for infrastructure has complex ownership across local, Welsh and 海角视频 government, FSB said a new strategic approach is needed that promotes efficiency, connectivity and minimises duplication of effort or, at worst, inaction.
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It said the voice of business must also be heard by politicians and decision-makers, ahead of NICW’s first report later this year.
FSB Wales policy chair Ben Francis said: “NCIW is and should be an opportunity for a strategic overview of Wales’ infrastructure in the coming years.
“However, it is a worrying statement of the fledgling institution that Welsh Government did not task them with investigating solutions to the problem of congestion around Newport after deciding not to proceed with the M4 ‘black route’. It is incongruous that an entirely new expert commission was appointed to investigate this.
“This is a significant missed opportunity, which would have been a good early test of the ability of NCIW to act in a meaningful and effective way for business and the economy.
“As a result, it is incredibly important that NCIW’s role and remit is clarified and that this is properly communicated to the public. It is vital that NCIW waste no time in building the confidence of SMEs in its abilities to deliver.”
Mr Francis added: “Infrastructure is particularly important to smaller firms in order to give them a level playing field. Smaller firms are more likely to be embedded within their communities and are therefore less likely (or able) to relocate.
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“Changing political priorities and short-term thinking are paralysing our ability to generate a long-term vision. We want to see a commitment to political consensus as well as engagement of the National Infrastructure Commission in generating a 30-year vision on infrastructure to which businesses can subscribe as developing our economy. If we are serious about moving the Welsh economy forward, we must tackle these issues.”
A Welsh Government spokesperson said: “Infrastructure investment can play a key role in improving economic prosperity and connecting our communities.
“This is why we have established a National Infrastructure Commission for Wales for to advise on our long-term infrastructure needs and have an ambitious plan to invest in public infrastructure across Wales, which includes such strategic transport projects as the South Wales Metro, the development of a North East Wales Metro and a new £5bn rail franchise.”