UK Infrastructure Hindered by Health and Safety Regulations, Report Finds

Overly stringent health and safety regulations are hindering the development of new infrastructure in the United Kingdom, according to a report by economist John Fingleton. Cited by Keir Starmer, the leader of the Labour Party, Fingleton’s findings suggest that a shift in the regulatory approach to risk could revitalize the country’s stagnant economy. The report primarily focuses on the nuclear power sector and was recently discussed in an interview with the Guardian.

Fingleton argues that the UK’s current risk aversion is stifling innovation and progress. He highlighted a recent decision by London’s royal parks to close during high winds as emblematic of this issue. “Instead of going for a walk through the park, [people] ended up walking around the edge of it instead, where there were often more trees,” he explained. This, he contends, simply shifts risk rather than eliminating it.

Recommendations for Regulatory Change

Fingleton’s report, delivered in February 2024, offers several key recommendations aimed at encouraging infrastructure projects, particularly new nuclear power plants. He calls for the government to provide clearer guidance to regulators regarding acceptable levels of risk. One significant proposal suggests allowing developers to make upfront payments to Natural England, thus avoiding the need for costly design changes intended to protect certain species on construction sites.

In a striking detail, the report notes that the Hinkley Point C nuclear power plant has allocated £700 million for an acoustic fish deterrent system, which reportedly saves the lives of fewer than one salmon and 528 twait shads annually. Critics have dubbed this system a “fish disco,” raising questions about its cost-effectiveness.

Fingleton also criticized regulatory requirements mandating that workers in nuclear facilities be exposed to radiation doses significantly lower than the average person would encounter in daily life. He argues that such regulations inflate consumer prices and taxpayer costs while diminishing the competitiveness of the nuclear sector without offering substantial health and safety benefits.

Response from Unions and Government Officials

Unions have challenged Fingleton’s assertions, emphasizing that robust health and safety standards do not impede economic growth but rather support it by ensuring worker safety and public confidence. Andy Prendergast, the national secretary of the GMB union, stated, “These high standards don’t inhibit growth; they support it.” He criticized the notion that safety regulations should be relaxed, particularly when proposed by individuals lacking direct experience in the sector.

Similarly, Sue Ferns, senior deputy general secretary of the Prospect union, insisted that safety must remain paramount in any regulatory changes. She stressed the importance of union involvement in the development and implementation of new guidelines.

Starmer has publicly endorsed Fingleton’s recommendations, stating in a recent speech, “I agree with him. In fact, I would go further.” He indicated that he would ask the business secretary to apply Fingleton’s insights across the entire industrial strategy, underscoring a commitment to fostering growth while addressing regulatory concerns.

Fingleton, along with his colleague Mustafa Latif-Aramesh, who contributed to the nuclear regulatory review, believes that the recommendations could also benefit other infrastructure projects, such as new reservoirs and rail lines. Latif-Aramesh pointed out that the current planning bill lacks sufficient measures to prevent issues like the £100 million “bat tunnel” protecting bats along the HS2 rail line.

The ongoing debate around health and safety regulations in the UK’s infrastructure sector highlights the delicate balance between fostering economic growth and maintaining rigorous safety standards. As discussions continue, the government’s response to Fingleton’s recommendations will be closely scrutinized by both industry stakeholders and the public.