£40 million to accelerate Teesside regeneration

Thousands of people, including businesses and public service providers in Teesside, will be the next to benefit from millions of pounds in extra levelling up funding to help drive forward vital regeneration.

Middlesbrough, alongside Redcar and Cleveland, will receive £20 million each – a total of £40 million – to help ramp up improvements with targeted projects planned to revitalise high streets, healthcare, transport and education, and create more affordable housing. 

The £40 million funding comes from the government’s Levelling Up Partnerships initiative, which is rolling out tailored regeneration plans across 20 areas in England most in need of levelling up. It is part of the government’s long-term plans to grow the economy and will also improve lives for people in Teesside.

Levelling Up Partnerships were created after the government’s successful intervention schemes in Grimsby, Blackpool and Blyth. For example, the “deep dive programme” which saw the government work with local leaders and businesses to target investment and address unique challenges faced by each town. This saw improvements to Blackpool and Grimsby, including a £100 million regeneration plan being unlocked for Blackpool.

In Blyth, the burgeoning high street was being held back by anti-social behaviour and loitering, so the government supported investment in additional CCTV provision. This, alongside a new partnership between local businesses and the police, helped to restore residents’ confidence in Blyth’s high street. 

Levelling Up Secretary Michael Gove said:

I’m delighted to announce that as a result of these new £40 million Levelling Up Partnerships for Teesside we have been able to support both Middlesbrough and Redcar & Cleveland colleges with new funding, and that we are backing the refurbishment of Redcar Train Station and former House of Fraser building in Middlesbrough.

We are working hand-in-hand with local leaders in Redcar and Cleveland and Middlesbrough, as well as across Teesside and the Mayor of Tees Valley to drive forward levelling up.

These two Levelling Up Partnerships come on top of the government’s other support for the area including the Teesside Freeport and Investment Zone, the new £20m long-term plan for Eston, the new Economic Campus in Darlington, and Levelling Up Fund projects in Hartlepool, Redcar and Cleveland, and Stockton on Tees.

Education and improving people’s skills lies at the heart of the two Levelling Up Partnerships allowing people to make the most of opportunities across Tees Valley. Over £6 million will be allocated for Middlesbrough College to allow greater access to learning and ensure more people learn construction, high pressure welding and healthcare skills. £5 million will be allocated to Redcar & Cleveland College to allow them to build an All Access Academy to teach construction skills. This builds on other recent progress made by the college, including its new Clean Energy Education Hub, secured through the Government’s Town Deal investment in Redcar.

The funding package for Middlesbrough further includes over £5 million to move a public health centre and establish another in Berwick Hills, over £2 million to refurbish the former House of Fraser building and turn it into a new arts centre to breathe new life into the high street and a further £2 million to invest in temporary accommodation stock to ensure more people have a roof over their heads. 

This is on top of almost £2 million funding pot to crack down on crime and anti-social behaviour in the town, alongside further funding to improve Family Hubs to support families, and extra cash for a new employment hub in Cleveland Shopping Centre and funding for other projects. 

These projects will help increase the number of high skill jobs, improve health disparities and create better community spaces for families in the region.

Middlesbrough Mayor Chris Cooke said:

We’re working to build a healthier, safer and more ambitious Middlesbrough and all of these projects will help to improve people’s lives.

We need to invest in people’s futures, protect them when they need support and provide services that can help them live fulfilling lives.

This welcome funding helps us focus on services and projects that can make a real difference.

In Redcar and Cleveland, almost £7 million will be used to restore the much-loved Grade II-listed Redcar Station building and bring it back into use. Almost £2 million will be spent to enhance the Daisy Lane Single Point of Access office to enable greater join up between the NHS and council services to reduce hospital wait times and allow faster discharges. 

Almost £3 million will be spent to breathe new life into TunedIN, a community performance venue set up to give creative opportunities to young people, with another £600,000 set aside for a community grants pot to support a range of projects – including buying a fleet of minibuses and building a new skate park. 

Further funding will be provided to ensure there is accommodation for 16 and 17-year-olds in care, more affordable homes from the South Bank Land Trust, increased CCTV coverage to deter crime and anti-social behaviour and more support for families through improvements to the Family Hubs. 

The partnership working and funding will improve public services for the community, increase the amount of housing available and prevent anti-social behaviour better to protect communities.

Cllr Alec Brown, Leader of Redcar & Cleveland Borough Council said:

We welcome this investment in Redcar and Cleveland and have worked positively with the Department for Levelling Up, Housing and Communities to make the most of the funding on offer to ensure we continue to deliver for our residents.

Our plans are designed to improve and enhance the lives of our communities by not only investing in major infrastructure projects but also investing in the people of the borough and their future.

I am passionate about everyone having the opportunity to achieve their potential and by providing great education, training and employment opportunities whilst also supporting the most vulnerable, young and old, in our communities, I want to create the opportunities in Redcar and Cleveland for everyone to thrive.

This builds on the almost £600 million the government has allocated to the Tees Valley region, including through the Tees Valley Investment Zone and Tees Freeport.

Since the Spring Budget announcements, DLUHC has been working with all areas that have been invited to form a Levelling Up Partnership – details of subsequent regeneration packages will be made public over the course of the next 18 months.  

Previous Levelling Up Partnerships have been announced for Mansfield, Hull and Sandwell. At the Autumn Statement, the government announced the extension of the policy to Scotland. 

The areas have been selected based on analysis set out in the Levelling Up White Paper which considered places against metrics such as educational attainment, gross pay and life expectancy.