The Spending Review: How it affects the UK

The recent government Spending Review presented a real boost for the construction industry. Now, UK businesses are in line for support in order to deliver a number of essential infrastructure projects and housing developments up and down the country.

As part of the announcement, initially delivered by Chancellor of the Exchequer George Osborne and then confirmed by chief secretary to the treasury Danny Alexander, some £100 billion of taxpayers' money is to be put aside for infrastructure spending.

This will include the building of roads, as well as vital repairs and maintenance project to be taken out of the government pipeline and finally put into action.

Furthermore, the government is also prepared to allocate funding for much-needed energy developments, such as shale gas and new nuclear power stations, as well as the construction of schools, houses and transport links - most notably the HS2 line and the further phased developments of this scheme.

Rob Searle, commercial director at CareerStructure.com, said: “We’re still operating in a challenging environment – but the capital infrastructure investment announced today (June 27th) is a strong step towards the industry seeing future growth.

"Research amongst built environment professionals has recently indicated huge enthusiasm for HS2 and its ability to both create jobs and improve the overall employment prospects of those working on the project. The green light from George Osborne today on this, along with news that a ‘Cross Rail 2’ project is scheduled, will only enhance the industry's optimism."

While all areas of the UK are set to benefit from the spending review proposals, lets break it down and take a look at how it will affect some specific areas of the country.

West Midlands

Transport is the area in which the West Midlands will see the most benefit. Firstly, the region will see a number of managed motorway schemes undertaken. This includes the M5 J4a-6 south of Birmingham, M1 J13-19 Rugby, M6 J2-4 and J13-15.

Furthermore, the M54/M6 link road at Wolverhampton, which will see congestion reduced between both the A460 between Wolverhampton and Cannock, and the A449 between Wolverhampton and Gailey.

However, the West Midlands is set to benefit most from the forthcoming HS2 line to provide quicker rail travel between Birmingham and the UK capital. The Spending Review confirmed that the government will provide funding for the project.

The West Midlands is also set to benefit from no fewer than 22 school rebuilds, with poor condition buildings set to be addressed as part of the Priority School Building Programme.

North West

The area is also expected to benefit from the HS2 line, especially during the second phase of development work. Further rail improvements will see an upgrade to the Northern Hub rail link.

In a more immediate and tangible development, improvement and management projects are expected for the M60 J24-27 and 1-4, the M62 J10-12, the M56 J6-8, and the M6 J16-19 and 21a-26.

These projects are expected to cost in the region of £814 million and will provide construction jobs for a number of local residents during the construction process.

Some 39 schools in the north-west are also set for redevelopment as part of the government's scheme to rebuild schools.

East Midlands

In order to regulate the flow of heavy traffic in the area, the Spending Review has allocated funding to restart the stalled project to improve the A38 junctions.

Further road spending is intended for a managed motorway scheme at Long Eaton for the M1 J24-25 and an accelerated delivery pilot scheme for the M1 J28-31.

The East Midlands will also be one of the areas to benefit from the government's £30 billion investment for the electrification of 850 miles of railway.

As well as providing more funds to support plans to develop the MIRA technology park, the Spending Review has also set aside funding for the rebuilding of 15 schools in the area.

Wherever you are in the country, it would be worthwhile to find out which local schemes have received funding from the Spending Review, as a number of construction jobs are likely to be made available in order to deliver them.