IfG Events

How can the government rethink the approach to public services capital spending?

Jul 23, 2024

The discussion dives into the urgent need for the UK government to rethink its capital spending on vital public services like education, healthcare, and prisons. It highlights misallocation of budgets leading to deteriorating facilities and emphasizes a strategic, multi-year approach to enhance service delivery. Experts advocate for decentralization and innovative funding models, while also stressing the importance of integrating community needs into planning. The conversation also evaluates the complexities of social infrastructure investment and the necessity for long-term financial commitments.

01:07:49

AI Summary

Highlights

AI Chapters

Episode notes

Podcast summary created with Snipd AI

Quick takeaways

The UK's public services suffer from chronic underinvestment and mismanagement of capital spending, resulting in deteriorating infrastructure and resources.

A shift towards developing long-term strategic plans for capital investment is essential to address future maintenance and service demands effectively.

Collaboration between public and private sectors must be redefined to improve project outcomes and attract necessary investments in public services.

Deep dives

The Need for Rethinking Capital Spending

Current public services in the UK face significant challenges due to insufficient and poorly managed capital spending. The evidence highlights issues such as leaking roofs in NHS hospitals and deteriorating conditions in schools and prisons. These problems stem from a longstanding trend of low investment in public services, consistently falling below the international average. Addressing these issues requires a strategic shift in how capital spending is approached by the government, especially in light of recent election discussions surrounding public service failures.

Quality of Public Service Spending Concerns in the UK

00:36

Preserving Quality Enhances Public Perception

00:34

Align Strategy with Capital Processes

00:39

Rethink Capital Allocation Timing

00:33

Intro

4min

Capital Investment Challenges in UK Public Services

17min

Rethinking Capital Allocation in Public Services

25min

Evaluating the Strategic Importance of Social Infrastructure Investments

2min

Integrating Public Services with Community Development

16min

Rethinking Public Service Capital Spending in Education and Supply Chains

2min

Strategic Investment in Education and Children's Services

3min

Since 2010 the UK’s capital spending on prisons, hospitals and schools has been consistently lower than many other countries – leading to crumbling buildings, creaking IT and a lack of equipment. But the size of the budgets is only part of the problem – these budgets have also been badly spent.

This will continue to hamper public service performance unless the new government takes a new approach to capital spending. So what could it do differently to achieve better outcomes? How can ministers, select committees, the Treasury, and other central government departments rethink their approach? And what steps could be taken in the next multi-year spending review?

The event began with a short presentation from Thomas Pope, outlining the main findings of a recent IfG and Grant Thornton report on this topic, Capital spending in public services: Fixing how the government invests in the NHS, schools and prisons.

To discuss these questions and more, we were joined by an expert panel, including:

• Wayne Butcher, Director at Grant Thornton UK

• Anita Charlesworth, Director of Research at the Health Foundation

• Sir Jon Coles, Group Chief Executive of United Learning and former Director General for Schools at the Department for Education

• Thomas Pope, Deputy Chief Economist at the Institute for Government.

The panel was chaired by Gemma Tetlow, Chief Economist at the Institute for Government.

We would like to thank Grant Thornton UK for kindly supporting this event.

Learn more about your ad choices. Visit podcastchoices.com/adchoices

Remember Everything You Learn from Podcasts

Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.

IfG Events

How can the government rethink the approach to public services capital spending?

Podcast summary created with Snipd AI

Quick takeaways

Deep dives

The Need for Rethinking Capital Spending

Inefficiencies in Capital Budget Allocation

The Importance of Long-Term Planning

Bridging the Gap with Private Sector Collaboration

Addressing Capital Investment Challenges

Quality of Public Service Spending Concerns in the UK

Preserving Quality Enhances Public Perception

Align Strategy with Capital Processes

Rethink Capital Allocation Timing

Remember Everything You Learn from Podcasts