Lack of infrastructure investment holds back Birmingham’s growth

BUSINESS leaders in Birmingham have said a lack of infrastructure investment is holding back the region’s economic growth.

More than three quarters (76%) of people attending an event staged by Lloyds Bank Commercial Banking agreed that Birmingham’s prosperity had been hindered by under-investment.

Of those firms that thought more investment in infrastructure would help them grow, they predicted turnover would increase by on average, 7.4%.

Almost three quarters said that investment in roads would have the biggest impact on the region’s wealth, followed by trains and air transport.

But 71% did flag that national infrastructure projects such as HS2 would have a positive impact on the region and on the supply chain.

Mark Cadwallader, regional director for SME banking in the West Midlands, Lloyds Bank Commercial Banking, said: “Infrastructure is clearly an issue at the top of the agenda for businesses in Birmingham, particularly with projects such as HS2 in the pipeline that will significantly alter the ways local firms operate.

“Connecting the two largest cities in the UK in this way will have a fundamental impact on the dynamics of our business community.

“Having effective infrastructure to meet current and future needs, whether that is in transportation, energy, social infrastructure or telecommunications, is essential in driving long term economic growth, both locally in Birmingham and nationally.”

He said the bank was committed to supporting big infrastructure projects as part of the Government’s National Infrastructure Plan and through the local supply chain.

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