At a Glance
Government’s 2025 Budget commits over £120bn to infrastructure, with major boosts for the Lower Thames Crossing, rail upgrades and nuclear power.
Planning reforms introduce a “default yes” near train stations and faster consent for nationally significant projects, alongside devolved funding for mayors.
Despite the Budget, UK construction output fell at the fastest rate in over five years in October, led by housing and civils weakness.
A £63bn North Sea Future Plan and Ofgem-backed grid investments aim to position the UK as a clean energy and green industry hub.
Regeneration funding is crystallising, with Burnley’s £20m plan, Belfast’s £250m bid and neighbourhood plans due this week.
Today’s update: a highly expansionary Budget for infrastructure and clean energy lands against a backdrop of sharply falling construction output and ongoing delivery risks. Regeneration bids, devolved funding and planning reform are converging on transport-led growth corridors, while environmental pressures shape where and how schemes proceed. Here’s what you need to know to stay ahead today.
Ongoing Stories
Returning after earlier coverage of the Planning and Infrastructure Bill, the Budget’s “default yes” near stations and accelerated consenting for major schemes mark a concrete step-up in central efforts to unblock delivery, adding to the new ministerial override powers already in train.
Following previous focus on the DLR Thamesmead extension as a housing enabler, the project is now explicitly backed within the Budget’s transport package, tying its approval more tightly to east London’s 25,000-home growth plans.
Building on recent scrutiny of infrastructure delivery risks and nuclear policy, the Budget’s £14.2bn support for Sizewell C, backing for SMRs at Wylfa and inclusion of nuclear in the green finance framework shift the financing landscape for major energy schemes.
Top 5 Headlines
🏛️ Budget 2025 commits over £120bn to infrastructure and capital spending
The Government has set out more than £120bn of infrastructure and capital investment for this Parliament, framed as a growth and jobs package. Major transport allocations include an additional £891m for the Lower Thames Crossing, plus funding accelerations for the Midlands Rail Hub, Transpennine Route Upgrade and the DLR extension to Thamesmead. Devolution is strengthened with £13bn of flexible funding to seven English mayors for local infrastructure, skills and regeneration. For the sector, this provides a clearer multi-year pipeline but raises execution questions given current capacity and planning constraints. (Source: GOV.UK)
🏛️ Planning reforms introduce “default yes” near stations and faster NSIP consents
As part of the Budget package, ministers are pursuing planning reforms including a “default yes” presumption for developments near train stations and measures to cut consenting times for nationally significant infrastructure projects. The reforms sit alongside ongoing changes under the Planning and Infrastructure Bill and are intended to accelerate housing delivery and major schemes. Returning today after earlier coverage of centralised planning powers, this adds a more explicit spatial focus around transport hubs and offers developers clearer signals on where growth will be prioritised. (Source: GOV.UK)
🚆 Budget transport boosts for Lower Thames Crossing, rail upgrades and DLR
The Budget confirms an extra £891m for the Lower Thames Crossing and accelerates funding for the Midlands Rail Hub, Transpennine Route Upgrade and Docklands Light Railway extension to Thamesmead. These schemes are positioned as catalysts for regional growth and, in the case of Thamesmead, for unlocking large-scale housing. For contractors and consultants, this underpins a long-term portfolio of complex civils and rail work but will demand close attention to delivery models and interfaces with local plans. (Source: GOV.UK)
🌱 £63bn North Sea Future Plan and Ofgem grid funding to anchor clean energy build-out
The UK has launched a £63bn North Sea Future Plan to consolidate the basin as a hub for offshore wind, hydrogen, carbon capture and storage (including Acorn and Viking) and green steel manufacturing. Ofgem has also approved early construction funding for several key electricity transmission projects, particularly in Scotland, to connect new renewables. This combination of industrial strategy and regulated network investment creates a substantial long-term project pipeline but will test supply chains, consenting capacity and skills in energy-focused regions. (Sources: Ofgem, GOV.UK)
⚙️ Construction output posts sharpest fall in over five years
Official data show UK construction output in October 2025 declined at the fastest rate in more than five years, with housing and civil engineering particularly weak. This downturn comes despite the Government’s expanded capital plans, highlighting a lag between policy announcements and work on site. For firms, the divergence underscores near-term pressures on workloads and cashflow even as medium-term opportunities grow, reinforcing the need for selective bidding and careful exposure to weaker sub-sectors. (Source: Building)
🌱 Budget backs nuclear, Warm Homes efficiency plan and green finance shift
Alongside transport, the Budget confirms £14.2bn for Sizewell C, support for Small Modular Reactors at Wylfa and classifies nuclear within the Government’s green finance framework. It allocates £1.5bn to the Warm Homes plan for residential energy efficiency and signals continued support for lifecycle carbon reduction initiatives such as UKGBC’s Advancing Net Zero. Environmental groups are pressing for stronger emphasis on brownfield and rooftop solar to avoid erosion of nature protections, indicating that future schemes will need robust environmental cases as well as funding. (Sources: GOV.UK, UKGBC)
Also in the news
🏗️ Construction firms will face higher minimum wage costs from 2025 but have avoided a widely expected landfill tax rise, reshaping labour and waste cost assumptions on future bids. (Source: GOV.UK)
🏗️ Burnley Town Board has approved a 10-year regeneration plan backed by £20m of Government funding, with submission due by 28 November and a focus on safety, town centre renewal and youth opportunities. (Source: Burnley Council)
🏗️ Under the Plan for Neighbourhoods programme, 75 funded areas must submit regeneration plans to MHCLG by 28 November, locking in a wave of local schemes for the coming decade. (Source: GOV.UK)
🏗️ Belfast City Council is seeking £250m in city-wide regeneration funding, signalling a significant future workstream across housing, public realm and infrastructure if bids are successful. (Source: Belfast City Council)
🏗️ Plymouth Community Homes’ North Prospect scheme has been recognised as best regeneration project (501+ homes), reinforcing the model’s profile for large-scale estate renewal. (Source: Plymouth Community Homes)
The Daily Build is written for people shaping the UK’s construction and infrastructure pipeline. If this briefing is useful, consider forwarding it to colleagues before today’s project and investment meetings.
