Leading regional construction company McPhillips today welcomed a £600million funding boost for the construction sector – but warned the Spring Statement showed the fragility of the overall economy.
McPhillips managing director Paul Inions said today’s statement painted a gloomy picture of the state of the nation’s finances, with spending cuts following the tax and borrowing rises announced in the October Budget.
“Having ruled out tax rises ahead of today’s statement, the Chancellor left herself with little option but to cut public spending if she wanted to stay within her own fiscal rules.
“There is only one way out of her current predicament and that is to do everything she can to help the private sector start to grow. Unfortunately, the rise in employer’s National Insurance contributions which comes into effect next month and changes to employment laws do nothing to help.
“However, the extra £600million of funding to train tens of thousands more skilled construction workers over the next four years is certainly welcomed. If it can deliver on the Chancellor’s promise to train up to 60,000 engineers, bricklayers, electricians and carpenters by 2029 then it will be a big step forward.”
Paul added: “McPhillips runs its own training centre and we know that investment in skills at entry level pays huge dividends further down the line.
“We certainly need this sort of national investment if we are to speed up work on the UK’s infrastructure and build the 1.5million homes the Government has promised in the next five years.”
McPhillips employs more than 240 people at its Hortonwood headquarters in Telford, and has delivered more than 140 projects as principal contractor with a value of £300million in the last five years.
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