Chancellor Jeremy Hunt has been urged to make “brave decisions” that can boost growth “without breaking the bank”.
The British Chambers of Commerce (BCC) said planning reforms to speed up infrastructure projects and an improved energy network could help unlock billions in investment.
In a submission ahead of Hunt’s autumn statement next month, the BCC also called for an extension of the ‘full expensing’ tax break – which rewards companies for spending on assets such as machinery – and a freeze on business rates.
The Chancellor has already warned that he will have to make ‘difficult decisions’ and has rejected the idea of tax cuts.
BCC director general Shevaun Haviland said: “We believe there are some options open to him.
Under pressure: Jeremy Hunt has already warned he will have to make ‘tough decisions’ and has squashed the idea of tax cuts
“Businesses have told us they have billions in private investment waiting to be pumped into the UK economy, but our creaky planning system and congested network are holding that back.
“It is vital that we release this money and take steps to put British business in the best possible position.”