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14/12/2016

Three Million Tonnes Of Steel In Construction Pipeline For 2020

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The UK Government has outlined how it will use three million tonnes of steel on major infrastructure projects by 2020.

In the new procurement guidance, over £500 billion worth of planned private and public investment is set out.

Features include the High Speed 2 rail project, the construction of Hinkley Point and for the maintenance and upgrading of the motorway system.

In addition, changes are revealed to government procurement guidance, making it easier than before for UK steel manufacturers to plan and bid for upcoming government contracts.

Major procurement projects are likely to include, but not limited to:

• Infrastructure such as rail and roads

• Construction such as the building and refurbishment of prisons, hospitals, universities, housing, community centres, bridges and schools

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• Flood defences

• Defence related projects

• Energy related projects for example new nuclear technology

• Medical equipment

Business and Energy Secretary Greg Clark said: "The government has been absolutely clear that we want to do all we can to support our world-class steel industry. These changes will ensure that UK steel companies can better plan for the long term, giving them an even greater chance of securing government contracts.

"We want UK companies big and small to be bidding for and winning government contracts which is why our upcoming Industrial Strategy is so important. This strategy will ensure we make the right investments in science, research, skills and infrastructure so that British industry wins contracts by producing the best goods and services."

Minister for the Cabinet Office Ben Gummer said: "We will always strive to get the best value for money for taxpayers and we are going to do so in a way that strengthens our economy and bolsters the long-term prosperity of people across the country.

"I don't want contracts going abroad if the best value for money bid is a British bid with all the social and economic benefits that brings.

"By updating our procurement approach on these major infrastructure projects we are creating a level playing field for UK steel."

(LM)

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