Overview of UK Capex Strategy and Risks
In this briefing, we discuss the UK Capex strategy risks. In the UK, Capex (capital expenditure) investment in infrastructure is expected to grow by 3.6% annually from 2026 to 2030. This represents a £113 billion increase compared to the previous forecast. The planned capex strategy for funding capital expenditure investments includes public and private sector funding, and there is a strong emphasis on long-term strategic planning, decarbonisation, and regional growth. Key sectors requiring capital expenditure investments include transport, energy, water and environment, health, education, housing and urban development. Despite ambitious capital expenditure, investment and infrastructure spending plans, competing priorities and UK Capex strategy risks which need to be managed persist, and some of these include:
- Funding from fragile public finances
- Private Sector hesitancy on funding
- Rising labour costs and skills shortages
- Construction materials cost inflation
UK Capex Strategy Risks and Controls
Next, we examine three UK capex strategy risks and control mechanisms. In the UK, as part of strategic plans to improve capital expenditure investment in infrastructure, three planned strategic control mechanisms include the £3.25 billion digital reform fund, which aims to improve public service delivery and infrastructure spending transparency. Another control mechanism for capital expenditure investment is rolling capital budgets, which aim to minimise project outturn cost volatility and improve project delivery timelines. The Green Book review (in early 2026) aims to embed long-term value and regional equity into capital expenditure investment decisions. Public finances, however, remain fragile due to risks of tax increases and capital expenditure investment cuts.
How can CFBL Consulting help with Capex Strategy Risks?
Finally, we highlight how CFBL Consulting can help and why this means that emerging risks could further delay and reduce infrastructure investment in capital expenditure in the 2025 Autumn budget. What more should be done to mitigate public sector funding volatility that persists despite ambitious infrastructure spending plans and planned strategic cost control mechanisms? How should risks for businesses and investors be managed with many projects still lacking confirmed funding and delivery timelines? CFBL Consulting embeds cost assurance and open-book principles for transparency on major infrastructure projects and assets. For more insight and to discover how we support innovative businesses and projects, submit a request for proposal.
Information Sources
- UK Government Spending Review (2025)
- National Infrastructure Strategy and Pipeline
- ONS (Office for National Statistics)
- UK Green Book
- Autumn Budget and Spending Review
- Digital Reform Fund
- UK Construction Forecast (2025–2026)
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