February Director’s Blog
A busy agenda and lots of positive progress was reported at this week’s Cabinet meeting.
Our priority continues to be on securing a Devolution Deal for the Region and you have may seen the recent article in the local press on this subject.
City Deal Update
The new £64.5 million City Deal project was given approval to progress by Cabinet.
This project will help to address a key problem identified within the Region’s economic strategy around a lack of available modern, high-quality commercial and industrial premises. This is an issue which impacts on local businesses, employers, investment into the Region and the public sector.
It will provide funding for all eight of the Regions’ councils to refurbish existing or to create new commercial or industrial premises.
Cabinet also heard a presentation by Ryden’s on a research report we commissioned.
The report evidences the scale of the challenge in ensuring there is sufficient commercial and industrial premises to meet the need of local businesses and businesses investing into the Region.
Findings show that the problem is due to a wide range of factors, all of which are affecting the wider UK, including not enough new floorspace being built by the private sector; available quality space in the Region at a historically low level and exacerbated by a growing amount of out-of-date property – with local SMEs and inward investors struggling to find suitable accommodation to grow and expand within the Region.
The demand for modern, high-quality commercial and industrial spaces for existing and new business to move into is not being met. In some instances, the cost of developing new commercial space is not a viable commercial proposition for the private sector and may require public sector stimulus.
The new Enabling Commercial Space Programme seeks to contribute towards addressing this market failure.
It will open up areas of industrial land capable of immediate development, attract private sector investment, create more flexible business space for a broad range of sectors, bringing sites on the Vacant and Derelict Land Register back into use and importantly create sustainable, high-quality business locations to support SMEs, supply chain businesses and start-ups.
Each council has submitted a longlist of potential locations for funding. Now the councils will progress towards a final shortlist of projects, with a business case developed for each to evidence the funding requirement for inclusion in the final programme.
At Cabinet, the Outline Business Case for East Kilbride Town Centre was also approved. This is notable, not just because South Lanarkshire Council reconfigured their City Deal transport project to an ambitious re-imagining of East Kilbride Town Centre – to address changing priorities in the ten years since the Deal started. But additionally, as this should be the final Outline Business Case that Cabinet approves, with all projects now in Full Business Case stage or beyond.
Our City Deal is moving forward at great pace.
Intra-regional Inequalities
A presentation to Cabinet on Intraregional Inequalities was provided by the Intelligence Hub, looking across our eight councils in terms of the distribution of opportunity and challenges, including GVA, emerging sectors of growth, jobs, deprivation and population growth / decline.
The Hub’s findings demonstrate how Inverclyde’s economy is underperforming on economic and healthy working Indicators. This builds on the work of the Inverclyde Task Force which was set up in 2022 and has the support of the UK and Scottish Governments to stimulate the Inverclyde economy and create opportunities for businesses and residents.
Cabinet approved the proposal that Inverclyde be designated as a Regional priority and included as a new programme of work within the Regional Economic Strategy Action Plan. The new programme will provide a geographic focus on the challenges faced by Inverclyde. And a further set of actions to support the Inverclyde programme will now be developed and brought back to Cabinet for consideration.
Investment Zone
The Investment Zone is a genuine chance for us to turbo charge some of our key Regional strengths.
Significant progress has been made on the Investment Zone, with our proposed shortlist of projects / funding for the Investment Zone approved at Cabinet.
The proposal goes well above the funding allocation. There is further work to do, and of course it requires further discussion with and the approval of government.
A key thing to say is that we are determined that this funding will support the wider Region and have included proposals around skills and business support.
We look forward to announcing the sectors and geography with the governments, in the coming months.
National Wealth Fund
We formally updated Cabinet on the National Wealth Fund
This is fantastic opportunity which provides us with access to a high level of expertise and loan funding at very preferential rates.
Engaging with the National Wealth Fund on projects itself will also draw investor confidence.
We are delighted to be one of four UK regions selected for this pilot and are now working to identify projects across the Region which could benefit from the initiative.
We look forward to discussing the next steps in Leeds next week with the other UK City Regions.
UK SPF Investment
The UK Government SPF Investment plan programme for the next 12 months for our member councils plus additional Regional activity has been agreed.
As the only Region in Scotland to develop Regional approaches to SPF funding, it is worth flagging that the collective approach has allowed us to bring forward a proposal which brings greater flexibility in how this extended batch of funding is used by the member councils which brings advantages.
Discussions are underway with UK Government on the programme from April 2026.
5G Innovation and Connectivity Showcase
We are hosting an event in March to showcase our 5G Innovation Region Programme. Taking place at the Scottish Exhibition Centre, the full-day event will share the latest advancements in smart housing, independent living, and connected social care to a wide range of stakeholders —demonstrating how our innovative projects are driving real change in our communities.
More details and how to register here
European City of the Future
Glasgow has once again been named in fDi Intelligence’s European Cities and Regions of the Future as the 2025 rankings were announced this month.
After topping the category last year, Glasgow maintains a top three position for FDI Strategy ahead of Leeds, Dusseldorf, Torino, and Krakow and also placed eight for Connectivity.
