2025 may be remembered as the year the UK finally joined the dots between industrial ambition, infrastructure delivery, and local regeneration. The UK’s twin strategies released in June 2025 – the Industrial Strategy and the Infrastructure Strategy – mark a pivotal moment for the future of our cities and towns. For those of us working in property consultancy, particularly in the realms of city and town centre regeneration and economic development, these documents are more than policy, they are a blueprint for transformation. 

At the heart of both strategies lies a shared ambition: to rebalance the economy through place-based investment, long-term planning, and a renewed partnership between public and private sectors. The Industrial Strategy sets out a 10-year vision to drive growth in key sectors such as advanced manufacturing, creative industries, clean energy, and digital technology. But crucially, it recognises that innovation does not happen in isolation; it needs places to thrive. City and town centres, long seen as retail hubs in decline, are being reimagined as engines of inclusive growth, cultural vibrancy, and entrepreneurial energy.

The Infrastructure Strategy complements this vision by addressing the structural barriers that have held back regeneration for decades. It introduces a 10-year pipeline of infrastructure investment, with a focus on housing, transport, digital connectivity, and social infrastructure. This is not just about big-ticket projects, but about enabling local authorities to plan with confidence, attract private capital, and deliver integrated regeneration that meets the needs of communities.

One of the most promising developments is the creation of the National Infrastructure and Service Transformation Authority (NISTA). Through its interactive pipeline, launching in July, local authorities and developers will gain unprecedented visibility into upcoming projects, funding opportunities, and procurement routes. This transparency is a game-changer. It allows regeneration proposals to be aligned with national priorities, increasing their chances of securing support and investment.

The NISTA pipeline will include detailed data on project timelines, scope, funding status, and procurement routes. It is designed to increase transparency and attract private investment, while giving local authorities the tools to align their regeneration proposals with national infrastructure priorities. For city and town centres, this means that projects which integrate transport-oriented development, digital infrastructure such as 5G and fibre, and green infrastructure such as urban greening and flood resilience, will be better positioned to secure funding.

The Invest 2035 programme, launched under the Industrial Strategy, is another cornerstone of this new policy landscape. With £18 billion earmarked over the next decade, it offers a flagship fund for regeneration, infrastructure, and innovation. It simplifies access to public-private funding streams and prioritises projects that demonstrate long-term impact, sustainability, and economic inclusion. City and town centres that embrace mixed-use development, cultural and creative hubs, and innovation districts will be well-placed to benefit.

Importantly, both strategies emphasise the role of local leadership. Councils and combined authorities are expected to take the lead in shaping regeneration strategies, with more autonomy over how funds are allocated. This shift empowers local actors to tailor solutions to the unique needs of their communities, while aligning with national goals.

The 2025 Spending Review adds fiscal muscle to these strategies. It confirms multi-year departmental budgets through to 2029–30, with capital investment growing by 2.3% across the period. It recommits to long-term funding for housing, transport, and local growth, and explicitly aligns with the goals of the Industrial and Infrastructure Strategies. The Spending Review also introduces a clear signal that future funding will be tied to outcomes, efficiency, and alignment with national priorities.

For local authorities and developers, this means regeneration proposals that integrate housing, transport, and innovation, especially those aligned with the NISTA pipeline, will be best placed to secure funding. The Spending Review also recommits to multi-year local government settlements, giving councils the certainty they need to plan and invest. This is particularly important for city and town centre projects, which often require long lead times and complex partnerships.

But the Spending Review also sounds a note of caution. While it increases investment in key areas, it also demands greater efficiency. Councils remain under financial pressure, and the expectation is clear: regeneration must deliver not just growth, but social, environmental, and economic value.

This is a call to action. We at LSH are here to help our clients think holistically. That means integrating green infrastructure, digital connectivity, and skills development into every regeneration plan. It means forging partnerships across sectors – linking housing with health, culture with commerce, and education with enterprise. And it means engaging early with combined authorities and NISTA to ensure our projects are not just viable, but visionary.

The 2025 strategies are not perfect, and delivery will be complex. But they offer a rare moment of coherence in UK policy; a chance to align industrial ambition with infrastructure delivery, and to put city and town centres at the heart of national renewal. As the first funding rounds open and the NISTA portal goes live, the real work begins. Let us make sure our centres are ready.