Glasgow City Region and the North East of Scotland have been designated as UK Investment Zones in Scotland, following an agreement between the UK Government and Scottish Government
The swift development of this agreement demonstrates the strong partnership between the two governments and their commitment to fostering economic growth and opportunities in Scotland.
Investment zones in Scotland for economic growth
The establishment of Investment Zones is a crucial component of the levelling-up agenda, aiming to drive economic growth, create high-skilled jobs, attract investments, and provide future opportunities for local residents.
Prime Minister Rishi Sunak has identified this as a key priority, and both the UK and Scottish governments are making tax incentives and funding available to facilitate these objectives to grow the economy.
Focus on priority sectors and research institutions
The Investment Zones will be centred around research institutions, particularly universities, and will drive growth in priority sectors such as technology, creative industries, life sciences, advanced manufacturing, and the green sector.
By leveraging existing strengths and assets, the zones aim to enhance UK competitiveness in these industries, increase opportunities for local communities, and drive productivity growth — aligning with its aim of becoming a key economic hub in the European Union.
Expansion of investment zones
The designation of Glasgow City Region and the North East of Scotland as Investment Zones marks the first expansion of the program outside of England.
Secretary of State for Levelling Up, Michael Gove, welcomes this historic milestone, as it paves the way for extending the program to other parts of the UK.
Funding and regional plans
The two Scottish Regional Economic Partnerships, comprising multiple local authorities, will each receive an overall funding of £80 million over five years for their respective Investment Zones.
The selection of Glasgow City Region and the North East of Scotland as locations for the zones was based on research strengths, economic need and potential, and geographic spread.
Regional leaders, businesses, and universities will play a pivotal role in shaping regional plans to ensure that the Investment Zones harness Scotland’s entrepreneurial spirit and research talent.
Secretary of State for Scotland, Alister Jack, expresses excitement over the establishment of Investment Zones in Glasgow and Aberdeen, emphasising that these zones will further enhance the regions’ strengths, attract investments, stimulate economic growth, and generate jobs in priority sectors.
Jack also highlights the progress made with the Green Freeports announced earlier in Inverness, Cromarty Firth, and the Firth of Forth.
A bright future: jobs, growth and economic equality
The establishment of Investment Zones builds on the success of the joint UK and Scottish government agreement for two Green Freeports in Inverness, Cromarty Firth, and the Firth of Forth.
These initiatives aim to create jobs, drive growth, and promote Scottish economy. With up to £52 million in funding from the UK Government, the freeports are projected to generate around £10.8 billion in private and public investment and create over 75,000 new high-skilled jobs.
