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This item was published during the term of a previous administration that ended in April 2007

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Investment plan for Scotland's infrastructure

25/02/2005

The first-ever infrastructure investment plan setting out the Executive's long term plan for improving Scotland's public services and investment opportunities for business was launched today.

Infrastructure Investment Plan: Investing in the Future of Scotland sets out detailed investment plans in schools, hospitals, housing and transport projects. The Executive will increase capital spending by five per cent in real terms each year from 2005 to 2008.

The Plan shows where the Executive will target investment to grow the economy and provide better public services. It provides a longer term vision of investment plans to enable the private sector to plan ahead and take advantage of the opportunities. It will also ensure that people in communities across Scotland will be able to see and measure investment in their area.

The main aims of the Plan are:

  • improve the co-ordination of infrastructure investment by geographical area and between portfolios
  • improve the business economy by enabling employment and training opportunities for Scotland's workforce
  • improve the standard of infrastructure such as the transport network and school buildings
  • improve the efficiency of how services are being delivered
  • improve the co-ordination with the private sector and secure a mixed economy and mixed tenure of investment i.e. Executive capital investment and use of private finance

Launching the Plan, Minister for Finance and Public Service Reform Tom McCabe said:

"Our investment plans commit us to a major increase and modernisation of our infrastructure to improve the physical fabric of Scotland. Investment that will tackle the damage created by years of underinvestment and neglect.

"Growing the economy is our top priority. We know only long-term funding will grow our economy and secure the improved quality of life we are aiming to achieve. Our record levels of investment demonstrate our commitment to sustained long-term growth in Scotland's infrastructure through capital investment.

"We know that sustained investment in the physical fabric of Scotland will help us to create a growing, prosperous Scotland where enterprise can flourish. This plan will allow business to play a crucial role in renewing Scotland's infrastructure - underlining that a strong public sector can help the private sector flourish.

"The plan will also ensure that communities across Scotland will have new modern facilities to help improve the teaching and learning environment, to provide secure and warm homes, 21st century health facilities, new transport links to get goods to markets and people to work and upgraded water supplies to meet European standards.

"The Plan is co-ordinated and shows how investment is targeted throughout Scotland. It demonstrates the level of infrastructure development that will be procured from the private sector. The plan is the first step to securing a distinctive Scottish approach to our development. To meet the challenge we will need to utilise the skills and experience of both public and private sector organisations.

"This is the first time the Executive has produced such an investment plan but it will not be the last. I intend to ensure that our investment plans are properly planned, properly implemented and properly monitored. We will update the Plan at regular intervals as we plan with our partners across the public and private sector."

The Plan sets out the Executive's future investment plans by portfolio area and includes:

  • £3 billion investment, over 10 years, in Scotland's transport infrastructure;
  • £3 billion to meet the target of renewing and modernising 300 schools by 2009;
  • a Strategic Waste Fund of more than £500 million for local authorities to improve recycling and waste treatment;
  • a substantial investment to improve and modernise Scotland's colleges and universities with over £420 million being spent over the next three years;
  • substantial investment in the health estate to ensure patients have access to the best facilities; and
  • regeneration of Scotland's communities including improvements to affordable housing, eradicating fuel poverty and building to sustainable standards.

Scottish Council for Development and Industry Chief Economist, Ian Duff said:

"Scotland's infrastructure lags some way behind our economic competitors and only sustained investment and close co-operation between the public and private sectors will enable us to catch-up. Business will warmly welcome the opportunities contained in the Infrastructure Investment Plan and the commitment to a modern transport network, and hope that the Executive also delivers the streamlined planning system and new water connections that are needed to make these plans a reality."

A major conference "Infrastructure Investment in Scotland" will be held on 17 and 18 May in Edinburgh to discuss the Plan. The conference aims to bring together both the public and private sector and will provide an opportunity for Ministers to show that Scotland is "open for business" and to attract investors.

The Plan will build on the investment underway since devolution in 1999, including:

  • the largest hospital building programme in the history of the NHS, including £0.5 billion in 3 major hospitals across the Central Belt of Scotland;
  • the £2.5 billion committed to school infrastructure;
  • housing stock transfers, such as Glasgow, that will enable the delivery of investment to improve the quality of Scottish homes;
  • increased investment in the transport infrastructure; and
  • further investment in housing, water resources and justice system.

The Infrastructure Investment Plan completes the series of documents on the Executive's spending plans. It should be seen alongside the Scottish Budget: Spending Proposals 2005-08: Enterprise , Opportunity , Fairness and the Efficient Government Plan: Efficient Government - Securing Efficiency, Effectiveness and Productivity. These documents can be accessed using the following links:

http://www.scotland.gov.uk/library5/enterprise/babs-00.asp

http://www.scotland.gov.uk/library5/government/egrseep-00.asp

Page updated: Friday, February 25, 2005