|
 Value
of Total UK Education Expenditure 2005-2011
Over the last 12 years, capital expenditure on school buildings has
risen from under £700 million in 1996-97 to £6.7 billion in 2008-09
and will rise to over £8 billion in 2010-11. A number of capital
building programmes in the education sector are now well underway
including the Building Schools for the Future (BSF) Programme, the
Academies Programme and the recently announced Primary Capital
Programme to rebuild and refurbish 50% of primary schools.
The Government is
investing £21.9 billion of capital into the school estate between
2008 and 2011 as part of the Comprehensive Spending Review (CSR)
2007. In March 2009, the Government also announced that it was
accelerating almost £1 billion of investment to
enable thousands of school projects to be started in
the next 12 months. Around £919 million has been brought forward,
which means that overall schools capital spending in 2009-10 will
now be around £8 billion – up from under £700m a year in 1997.
Going forward, the
£45bn Building Schools for the Future (BSF) Programme, which is
scheduled to run until 2020 will be of particular interest to new
entrants because Partnerships for Schools, the body responsible for
delivering the programme, has just released a tender notice for a
new £4bn framework that will give up to 12 contractors a chance to
win academies work under the scheme.
The National Framework
for Academies could be another major source of new work in the
schools sector. Currently more than half of new academy build
projects are being procured through frameworks, with the remainder
being delivered through Local Education Partnerships.
The Primary Capital
Programme, which aims to rebuild or refurbish 50% of England’s
17,000 primary schools over 15 years, is also being launched in
2009 and will see a total investment of £7-9 billion over its
lifetime and around £1.9billion until 2011.
Universities are also
being urged by the government to bring forward spending plans to
provide an impetus to the construction industry during the economic
downturn. The Higher Education Funding Council for England is
advancing £200m before next April to help get £280m worth of
projects off the ground.
The current economic
climate is providing an opportunity for the student accommodation
sector to meet the need for accommodation through joint university
and private sector development and take advantage of falling site
prices and declining construction costs.
The Government’s
capital programmes for primary and secondary schools have had a
huge impact on education spending in the UK with an estimated £100
billion being spent from now until 2020 and the largest proportion
is being spent across London and the South East. BSF accounts for
£9bn of the £22bn being spent on education construction in this
spending review period, which runs until April 2011.
In the short and
medium-term it is the availability of funding that will be the key
driver in the viability of both schools and higher education
building programmes. However, the long-term nature and prevalence
of large projects in BSF, the Academies Programme and the Primary
Capital Programme should help boost education construction activity
and help counteract output falls in the commercial and private
residential sectors.
The Government is investing £21.9 billion of capital into the
school estate between 2008 and 2011 as part of the Comprehensive
Spending Review (CSR) 2007. In March 2009, the Government also
announced that it was accelerating almost £1billion of investment
to enable thousands of school projects to be started in the next 12
months.Around £919 million has been brought forward, which means
that overall schools capital spending in 2009-10 will now be £7.943
billion – up from under £700m a year in 1997.
Going forward, the £45bn Building Schools for the Future (BSF)
Programme, which is scheduled to run until 2020 will be of
particular interest to new entrants because Partnerships for
Schools, the body responsible for delivering the programme, has
just released a tender notice for a new £4bn framework that will
give up to 12 contractors a chance to win academies work under the
scheme.
The National Framework for Academies could be another major source
of new work in the schools sector. Currently more than half of new
academy build projects are being procured through frameworks, with
the remainder being delivered through Local Education Partnerships.
The Primary Capital Programme, which aims to rebuild or refurbish
50% of England’s 17,000 primary schools over 15 years, is also
being launched in 2009 and will see a total investment of between
£7-9billion over its lifetime and around £1.9billion until 2011
Universities are also being urged by the government to bring
forward spending plans to provide an impetus to the construction
industry during the economic downturn. The Higher Education Funding
Council for England is advancing £200m before next April to help
get £280m worth of projects off the ground.
The current economic climate is providing an opportunity for the
student accommodation sector to meet the need for accommodation
through joint university and private sector development and take
advantage of falling site prices and declining construction costs.
The Government’s capital programmes for primary and secondary
schools have had a huge impact on education spending in the UK with
an estimated £100 billion being spent from now until 2020 and the
largest proportion is being spent across London and the South East.
BSF accounts for £9bn of the £22bn being spent on education
construction in this spending review period, which runs until April
2011.
In the short and medium-term it is the availability of funding that
will be the key driver in the viability of both schools and higher
education building programmes. However, the long-term nature and
prevalence of large projects in BSF, the Academies Programme and
the Primary Capital Programme should help boost education
construction activity and help counteract output falls in the
commercial and private residential sectors. |
