These include venture capital schemes, private equity investments, or short-term projects such as film finance.
So it is a rising budget – £2.3bn on capital schemes that will make a real difference up and down the country," he told Sky News.
Then on Thursday, Mr Alexander will announce details of the new capital schemes which will go-ahead as a result of the increased spending.
The report argues that PFI brings "substantial benefits" in big, complex capital schemes where the private sector can offer project-management skills, innovative design and expertise in risk management.
"All of the money is being driven into capital schemes to protect urban homes and less and less on background maintenance work which keeps the system flowing," says Ian Moody, of the National Farmers Union.
Six months later, in the 2011 autumn statement, Osborne announced that he would boost growth by focusing on a blizzard of priority infrastructure projects, from the Kettering bypass to the A14 to Felixstowe, and trying to bring private sector investment, from pension funds for example, into big capital schemes.
A lot of the blame can be laid at the door of the Treasury where, over the decades, vast numbers of legal tax avoidance measures have been introduced: forestry investment, film investment, small business venture capital schemes, and the rest of it.
"While the Government talks up the long-term funding commitment they have made to capital schemes (new flood defences), it rather shadows the fact that the investment in maintenance, particularly of main rivers (those the Environment Agency have regulatory responsibility for) has declined dramatically".
However, he conceded the decision would "reduce funds for capital schemes".
