Which? response to the Government’s National Infrastructure Plan

In response to the Government’s National Infrastructure Plan Which? executive director, Richard Lloyd, said:

“We all want to see investment in infrastructure to ensure high quality and value for money services for consumers in the future. However at a minimum cost of £740 per household each year till 2020, it is vital there is rigorous scrutiny and control of the costs.

“There is clearly a real worry that, as we have seen in energy, consumers may struggle to cope if too much of the burden of increased investment is also passed through to their transport, water, energy, insurance and communications bills. We also need to keep in mind the increasing costs of other essentials and the combined impact this is having on household budgets as incomes continue to be squeezed.

“With this in mind, it is encouraging that the Government has said it will keep costs in check. Ministers words must be turned into firm actions, particularly for households already struggling to make ends meet.”

Notes to editors

  1. A cost of £740 per household each year until 2020 is £5,200 in total. This is a minimum estimate, and does not include the areas where some ambiguity has been left over whether the consumer or the tax-payer will pay.
  2. Over the first three years we see that cost per-household will be increasing, from around £620 per-household next year to £823 per-household in two years time. The projections drop back down to £607 per-year on average over the five years to 2020. This extra £200 a year comes at a time when household incomes are barely rising and will put further strain on households that are already dipping into savings to meet their current spending needs.
  3. The fall to £607 from 2016-2020 may result simply because not all investment that will take place in this time-frame has not yet been accounted for.

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