Glasgow City Region and the North East of Scotland have been designated as Scotland’s Investment Zones through an agreement between the UK and Scottish governments.
These Investment Zones are considered vital by the UK government for achieving balanced regional development and aim to bring about economic growth, create high-skilled jobs, attract investment, and provide future prospects for local residents.
The focus of these Investment Zones revolves around research institutions, particularly universities, and aims to foster growth in key sectors such as technology, creative industries, life sciences, advanced manufacturing, and the green sector. By supporting industry clusters, the goal is to enhance the UK’s competitiveness in these promising sectors, leveraging existing strengths and assets to generate more opportunities for local communities and drive productivity growth.
The establishment of these Investment Zones is expected to stimulate greater demand in the property market and, subsequently, attract property investments.
According to Housing Secretary Michael Gove, this development marks a significant milestone in expanding the scope and ambition of the Investment Zone program to foster economic growth across the entire United Kingdom.
He highlights the historical significance of both Aberdeen and Glasgow, along with their surrounding regions, in contributing to the UK’s economic prosperity. These areas have played integral roles in industries such as shipbuilding on the Clyde, oil and gas exploration in the North Sea, renewable energy leadership, and the exportation of top-quality food and drink worldwide. Additionally, they are home to major financial service companies. The aim is to build upon this rich heritage and present success, ensuring that Aberdeen and Glasgow continue to make substantial contributions to the UK economy.
The Scottish Regional Economic Partnerships in Glasgow City Region and the North East of Scotland will receive a combined funding of £80 million over five years, benefiting from both reserved and devolved policies, similar to Green Freeports.
The selection of these locations was a collaborative decision made by the UK and Scottish governments, considering factors such as research strengths, economic needs, potential, and geographic distribution.
Regional leaders, businesses, and universities will play a key role in shaping the regional plans for the Investment Zones, leveraging Scotland’s entrepreneurial spirit and wealth of research talent. Detailed proposals will be developed through ongoing discussions with both regions.
Scotland’s Secretary of State, Alister Jack, welcomes the news, highlighting that the Investment Zones will enhance the existing strengths of Glasgow and Aberdeen, attracting investments, promoting economic growth, and generating jobs in priority sectors. This initiative builds upon the success of the recently announced Green Freeports in Inverness, Cromarty Firth, and the Firth of Forth.
The establishment of these investment zones follows the joint agreement between the UK and Scottish governments for Green Freeports, which are expected to generate significant private and public investment, creating over 75,000 high-skilled jobs with the backing of up to £52 million in UK government funding.
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