Swingeing cuts can only harm the recovery

James Hulme, head of communications, NLGN

The current debate and political arms race over potential spending cuts fails to recognise that "swingeing" cuts will likely lead to declining public infrastructure and hamper long-term economic recovery.

The fabric of public services – schools, hospitals, roads, railways – have improved through additional investment and yet we are about to enter an era where capital expenditure is to be halved by 2014.

NLGN’s recent 'Capital Contingencies' report highlights the need for the Treasury to adopt new funding mechanisms to allow councils to raise new forms of funding to make up this shortfall, including new forms of private investment models.

Should we simply stand still and allow our infrastructure to decay, any gains in public service improvement made over the past decade are likely to fall into reverse.