MPs on Westminster’s Scottish Affairs Committee will take an
in-depth look at the progress of £6.2 billion worth of
government-backed funding deals, designed to boost regional
economic growth in Scotland.
City Region and Regional Growth Deals are two types of funding
packages that cover every part of Scotland. They are agreed
between and co-funded by the UK and Scottish Governments, with
additional spending commitments from local partners such as
councils and businesses.
Audit Scotland
reported last year that the Covid-19 pandemic, war in Ukraine and
high UK inflation put financial pressure on Scottish councils.
Without additional funding, the report warns of the real risk
that deals will not stretch as far as expected and that partner
funding may not materialise as a result.
In a new inquiry, the Committee aims to take stock of the City
Region and Regional Growth Deals across Scotland, examining what
they have delivered so far and barriers to their success.
Commenting on the new inquiry, Committee Chair MP said:
“City Region and Regional Growth Deals have the potential to
provide fantastic economic opportunities for local economies
across Scotland. But given the challenging economic
circumstances, are these plans achieving what Holyrood and
Westminster intended?
“It is hugely important that deals agreed by the UK and Scottish
Governments, with earmarked funding for Scottish regions, are
delivered as effectively and efficiently as possible. As a
Committee, we will examine their progress so far and identify
whether they are delivering what they intended – ensuring that
City Region and Regional Growth Deals deliver for the people of
Scotland.”
Terms of reference
The Committee invites written submissions focusing on any of the
below questions by midnight on 21 April 2024.
- What contribution have City Region Deals and Regional Growth
Deals made to the development of Scottish Cities and regional
economies?
- What are the key opportunities and challenges for City Region
Deals and Regional Growth Deals in the coming years?
- How have City Region Deals and Regional Growth Deals
progressed since the Committee last examined them in 2021?
- What steps have different City Region Deals and Regional
Growth Deals taken to implement the recommendations of the 2020
Audit Scotland report?
- How do the provision and effectiveness of City Region Deals
and Regional Growth Deals compare with similar schemes in England
and Wales (such as Investment Zones)?
- How do City Region Deals and Regional Growth Deals align with
other ‘Levelling-Up’ funding available to Scotland?
- To what degree do City Region Deals and Regional Growth Deals
address the right priorities for Scotland? Is there sufficient
flexibility in the schemes to tailor the offer to regional needs?
- What policies should the UK Government adopt to foster the
success of City Region Deals and Regional Growth Deals in the
coming years?
ENDS
Further information:
- The £6.2 billion figure cited is from Audit Scotland’s June
2023 ‘Scotland’s City Region
and Growth Deals’ report.
- City Region and Regional Growth Deals are designed to
encourage economic growth and create jobs. Under these Deals, UK
and Scottish Governments collaborate with local partners on
long-term infrastructure schemes such as new rail links. While
City Region Deals are packages for cities, Growth Deals focus on
Scotland’s rural and sub-urban areas. Each deal is tailored to
local circumstances and priorities. Glasgow signed Scotland’s
first deal in 2014, resulting in a funding commitment worth
£1.3bn over 20 years. Local authorities came together to manage
an improvement programme targeted at the transport network,
reducing unemployment and supporting the life sciences industry.
- The inquiry page will go live on the Committee’s website
on Thursday 14 March.
