In its pre-budget submission, the association points out that the £1.2bn allocated by the Department of Transport to English local authorities for highway maintenance and transport projects is not ring-fenced. The CPA wants councils to be stripped of their power to make local spending decisions in this way.
“We would urge government to ring-fence this finance and ensure full accountability for local authorities to ensure that finance allocated to local authorities is spent on its intended purpose,” CPA chief executive Diana Montgomery wrote to the chancellor in her pre-budget submission.
The CPA also wants the government to rebalance its spending between current and capital investment.
“The cuts in spending have been predominantly on capital investment, which has had an adverse impact upon the UK economy, resulting in a contraction in GDP in four of the last five quarters. It is vital therefore, that government spending is rebalanced between current and capital investment, as this could provide immediate construction and economic activity. We welcome the recent increases in capital investment for the repair and maintenance of roads, but this needs to be extended to other parts of the built environment such as housing, schools and hospitals.
“The majority of this repair and maintenance work on buildings occurs on framework contracts that are already in place and could have an immediate beneficial impact as they are not subject to delays from planning and procurement.”
The CPA is also calling for a bond auction to finance a short-term capital investment expansion to drive UK economic growth.
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