Britain celebrates (Japanese) state investment

It seems like everyone is investing in British infrastructure except for the British government

Duncan Wheldon at the TUC points out something:

David Cameron has arranged for a state-backed lender to step into the breach and help finance infrastructure projects, including wind farms, in the UK to the tune of ‘billions of pounds’.

The state-backed lender is the Japanese Bank for International Cooperation.

Given that the UK’s own Green Investment Bank is currently limited to £3bn it is perfectly possible that the UK’s green industries will recieve more funding form the Japanese state than the British one. This strikes me as an odd development.

None of this is new, of course. Foreign investment banks have been buying up British industry for years. As I wrote at Left Foot Forward, the China Investment Corporation now owns 9 per cent of Thames Water, and Abu Dhabi owns another 10 per cent:

With Thames Water now almost a fifth owned by foreign governments, and vast amounts of foreign state ownership in other public infrastructure companies from trains (Arriva) to postal services (DHL) and energy (EDF), the government will have an increasingly hard line justifying its long-held belief that private companies are inherently more efficient than state-owned ones.

Indeed, with the opening of the London-Frankfurt line in 2015, Deutsche Bahn will be operating on British soil under its own name for the first time.

Britain is finally getting a start on investing in our own infrastructure, rather than waiting for others to do it for us. As Joe Manning wrote yesterday, London boroughs aren't waiting for central government to get started, pooling their resources to get a better return for their money and improve the city with one move. It makes sense:

Pension funds have long time horizons. This means that they are well placed to invest in the infrastructure that is crucial to economic growth but will not realise immediate returns, such as new transport connections. In fact, there is a near perfect match between pension funds' appetite for long term assets and the need for long term financing of infrastructure.

Or we could do nothing. That seems like a popular plan.

A French wind turbine. Ours are Japanese. Credit: AFP

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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What the "critical" UK terrorist threat level means

The security services believe that Salman Abedi, was not a lone operator but part of a wider cell.

Following the Manchester bombing, the Joint Terrorism Analysis Centre (an inter-agency organisation comprised of 16 different agencies) has raised the UK's threat level from "Severe" to "Critical", the highest possible level.

What does that mean? It doesn't mean, as per some reports, that an attack is believed to be or is definitely imminent, but that one could be imminent.

It suggests that the security services believe that Salman Abedi, was not a lone operator but part of a wider cell that is still at large and may be planning further attacks. As the BBC's Dominic Casciani explains, one reason why attacks of this sort are rare is that they are hard to do without help, which can raise suspicions among counter-terrorism officials or bring would-be perpetrators into contact with people who are already being monitored by security services.

That, as the Times reports, Abedi recently returned from Libya suggests his was an attack that was either "enabled" - that is, he was provided with training and possibly material by international jihadist groups  - or "directed", as opposed to the activities of lone attackers, which are "inspired" by other attacks but not connected to a wider plot.

The hope is that, as with the elevated threat level in 2006 and 2007, it will last only a few days while Abedi's associates are located by the security services, as will the presence of the armed forces in lieu of armed police at selected locations like Parliament, cultural institutions and the like, designed to free up specialist police capacity.

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to British politics.

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