Britain needs to build. Actually, it’s been ‘time to build’ for a while now, which is why we’re encouraged by recent Government announcements and news reports suggesting those in power are taking it seriously. Better late than never.
First, plans were set out to reform the process developers have to go through to address any environmental impacts projects might cause. Under current rules, these have to be done in advance in order to receive planning permission. Under the proposed changes, developers will be able to pay into a Nature Restoration Fund, pooling contributions and putting them towards larger, more effective environmental projects.
Second, no-hope legal challenges that cost the taxpayer a fortune and delay critical infrastructure projects could be consigned to history. As Labour MP Dan Tomlinson writes on X: “The independent National Infrastructure Commission finds that an astonishing 58% of projects are being JR’ed [judicially reviewed] up from 10%.”
The Government is streamlining the planning process for major infrastructure projects – such as nuclear plants, wind farms, and transport networks – by limiting speculative legal challenges to one stage instead of three. This reform aims to cut delays, lower costs, and drive economic growth by removing unnecessary obstacles that hinder progress.
Third, Chancellor Rachel Reeves is expected to announce the approval of a new runway at Heathrow next week, while the Treasury is also considering whether to back a second runway at Gatwick and increased capacity at Luton Airport. Our friends at UK Day One have a timely paper out on why Heathrow is the most capacity-constrained transport hub in the world. In Britain’s Runway to Growth, they argue that expanding it could boost nationwide economic growth while still meeting the commitments on climate, air pollution, noise, and regional growth.
As with the AI Opportunities Action Plan, however, the Government must move at pace. They can and must go further too. In Small Wonders, for example, our Research Director Eamonn Ives explained how small modular reactors could provide cheaper, more reliable energy, while helping us cut carbon emissions too.
Our paper contains numerous policy recommendations that should be implemented to get the industry off the ground. These include allowing local authorities which approve the construction of new nuclear power stations to be entitled to capture more of the business rates they pay – creating a powerful incentive for them to green light development. It also suggests we should be able to mutually recognise the decisions of nuclear regulators in other allied countries when it comes to approving new nuclear designs, as already happens in pharmaceuticals, medical devices, aerospace, financial services and many other critical areas. Importantly, this would free up our own regulators to concentrate on issues that apply specifically to Britain, rather than simply duplicating work that has already been done elsewhere.
Labour’s Choice
If those growth policies aren’t enough, this week our Advisers Sam Bowman and Sam Dumitriu set out 11 more for Labour to choose from. The final recommendation is based on a paper by our Head of Innovation Research, Anton Howes. It deals with the thorny (but critical) issue of using copyright for AI development. Bowman as Dumitriu write:
“The best short-term solution to this is the one proposed in Matt Clifford’s AI Opportunities Action Plan: allow training without a license unless the rightsholder explicitly requires one. This is the EU’s approach, and while we think we should aspire to be better than the EU on tech regulation, it’s a lot better than the status quo. Instead of announcing yet another consultation, as the government has done, it should adopt Clifford’s proposals immediately and, in the medium-term, aim to set up an API standard for contract terms that reduces transaction costs between AI companies and rightsholders, so dealings between them can be fast and inexpensive.”
Paper Over
As I wrote in my latest Big Idea over on our Substack, according to the Government’s State of Digital Government Review, the public sector spends £26 billion annually on digital technology, yet nearly half of central government and NHS services still rely on paper forms and manual processes.
It doesn’t need to be like this. The report mentions Estonia in passing, which offers an online option for 99% of its services. As I wrote alongside Kirsty Innes, now of Labour Together, in our essay on building a digital state for our Way of the Future collection, the future of government services shouldn’t be only about moving forms online; we need to copy the likes of Estonia and Singapore which automatically provide services to citizens instead of requiring them to apply.
Read more and subscribe to our Substack here.
Need-to-know Basis
Our Adviser Harriet Green has just launched Basis, which is kicking off with private investment in early-stage companies that are building where the state is failing. If you are working in this space and the Basis thesis resonates with you, Harriet and team would love to hear from you. Message her here.