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£3bn infrastructure promise omitted from spending projections

The Budget pledge of £3bn a year for infrastructure is not included in the government’s overall spending projections for 2015/16 onwards.

The forecasts for government capital spending beyond 2015/16 in the Budget do not include any of the measures announced today or the 2012 and 2011 Autumn Statements.

Measures that take place in those years are affected by this June’s spending review and the next general election in May 2015.

The omission led to further scepticism amongst construction experts over whether the extra cash for infrastructure would materialise.

The Budget’s predictions for government capital spending, listed as public sector gross investment, show it will stay flat at £50.4bn in 2015/16, rise to £51.3bn the next year and £52.1bn the year after. However the document says these figures do not include announcements made in the Budget and the 2012 and 2011 Autumn Statements.

The document did not list how the money would be split between departments, detail which should appear in the spending review.

Noble Francis, economics director of the Construction Products Association, had doubts about whether the £3bn a year investment in infrastructure would be made. He said: “The £3bn a year capital investment is post-election and there is no cross-party support.” He added that if it is not in the total spending projections then he would be “even more pessimistic about whether it really would occur”.

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