Andy Burnham has arrived in Downing Street with several major infrastructure decisions sitting in his in-tray.

While he has spoken extensively about investment, devolution and greater public control, the sector still needs clarity. Which programmes will be prioritised? How will they be funded? And where will the new Government change direction?

Chancellor John Healey’s first major growth speech provided some further indications. Regional investment and faster infrastructure delivery are clearly high on the agenda - but so is controlling public spending.

Energy and net zero

Some of the most pressing decisions relate to the UK’s energy transition. No mention of this from the Chancellor.

• Is Clean Power 2030 still achievable? Much of National Grid’s investment programme, and the work being planned throughout the supply chain, is based on the 2030 target. However, questions remain about whether the required generation, transmission infrastructure and connections can all be delivered in time.
• Will the timetable change? The Government may not abandon the target, but it could revise the pathway towards it. Any change might affect which projects proceed first, where energy companies invest and what capabilities they need.
• What happens to the grid-connection queue? Reforms are underway to replace the previous first-come, first-served system. Projects must demonstrate that they are viable, strategically important and ready to progress. The test will be whether this produces faster connections in practice.
• What role will North Sea oil and gas play? Burnham’s Government is expected to approve the Jackdaw gas field while deferring a decision on Rosebank. Does this acknowledgement that domestic oil and gas will remain part of the energy mix have any implications for the pathway to net zero?

For energy infrastructure businesses, the biggest need is clarity. Investment decisions, recruitment and supply-chain capacity all depend on a credible and consistent long-term plan.

Water and greater public control

Burnham has spoken about a ten-year programme to bring essential services, including water and energy, under greater public control.

Healey’s speech gave only a vague indication of what this could mean. He described a more effective and strategic state providing greater oversight of essential services, while also creating the right conditions for private-sector investment.

Rather than the immediate nationalisation of every utility, greater public control could therefore involve:

• Stronger regulation and government oversight.
• Public investment alongside private capital.
• Municipal or regional ownership models.
• Special administration for financially distressed companies.
• The gradual acquisition of particular assets or operators.

The precise model will matter enormously but any swift changes in the current parliament are unlikely.

Rail and Great British Railways

The creation of Great British Railways continues, although progress remains gradual.

The Railways Bill provides for a publicly owned organisation bringing track and train together. However, GBR’s detailed structure and operating model are still being developed.

Workforce relations could also become increasingly important. The Government recently agreed an improved pay deal with Avanti train drivers following the threat of industrial action.

Other workforces under public control may expect comparable treatment. This has the potential to strengthen the unions’ negotiating position and add pressure to already constrained rail finances.

Devolution and regional investment

The Chancellor’s speech strengthened the case that devolution will be central to the new Government’s economic strategy.

Healey committed to changing the Treasury’s Green Book appraisal rules so that projects offering longer-term benefits receive greater consideration. He also announced new partnerships between the National Wealth Fund and South Yorkshire, Liverpool City Region, North East England and Cardiff Capital Region.

A roadmap to fiscal devolution is expected at the October Budget, alongside further details about transferring powers and resources to local leaders.

For contractors and consultants, this could reshape the client landscape.

Businesses may need to build stronger relationships with combined authorities, mayors and regional investment bodies, not just central government departments and national organisations.

The question is whether these new powers will be accompanied by meaningful, long-term funding. The Chancellor’s speech moved the discussion forward slightly, but the Budget will provide a much more important test.

HS2 and northern rail investment

Burnham was one of the strongest critics of Rishi Sunak’s decision to cancel the northern leg of HS2.

Shortly before becoming Prime Minister, he said he would revive the route to Manchester using a Crossrail-style funding model. Now that he is responsible for finding the money, does he still feel the same way?

Healey’s changes to infrastructure appraisal could potentially improve the case for projects offering long-term regional benefits. However, his emphasis on fiscal credibility and controlling spending means any revived HS2 proposal will still need a robust funding model.

Aviation and Heathrow

The position on Heathrow Expansion requires further clarity.

A draft Heathrow Expansion National Policy Statement was published in June 2026, but the final policy position has not yet been confirmed. The London Major still opposes the scheme based on environmental concerns.

Burnham has previously questioned whether Heathrow expansion would concentrate yet more infrastructure investment in London and the South East. He must now decide whether to maintain that position or accept the argument that the privately financed scheme could support national growth, employment and international connectivity.

Defence infrastructure

The Government must address a reported £4.7 billion gap in the Defence Investment Plan.

Although its commitment to higher defence spending remains, Healey’s warning about borrowing and debt costs underlines the difficult choices ahead. Affordability could affect the timing and sequencing of major programmes across AWE, the Defence Infrastructure Organisation and the wider defence estate.

Removing the barriers to delivery

One clear message from the Chancellor was that the Government wants infrastructure delivered more quickly.

Burnham’s infrastructure in-tray is not short of ambition. Monday’s speech offered more detail about the Government’s direction, but the difficult questions remain - which projects will take priority and where will the money come from.

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As the Government’s priorities become clearer, infrastructure organisations will need leaders capable of turning policy and investment into delivery. If you would like to discuss what these changes could mean for your leadership team or future talent requirements, please get in touch.