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AMIDS People -- Investment Zone

Glasgow City Region
Investment Zone

The Glasgow City Region Investment Zone will turbo-charge the Region’ s innovation economy in sectors where we already have strengths and which we recognise as key growth sectors of opportunity. 

Announced in June 2023, following a joint selection process by the UK and Scottish Governments, Glasgow City Region (GCR)’s Investment Zone is expected to generate around £300 million of initial private sector investment, to support 7,000 – 10,000 jobs, including through the expected Tax Site and to boost key growth sector specialisms of the Region’s innovation economy – specifically the Space, Semiconductor and Maritime sub-sectors of the Advanced Manufacturing sector.

The programme will feature six ambitious projects; a dedicated tax site; and supporting initiatives on skills, business support and an innovation investment fund which will ensure the benefits of the Investment Zone are spread across the entire Region and provide long-term resilience of jobs and local supply-chains for people and businesses.

In the coming months, the final Investment Zone programme will continue to be shaped with business cases for each of the projects being developed for approval, Tax site parameters agreed, and the scoping of the supporting Skills, Business Support and Investment Fund initiatives. 

Find out more about the six short-listed projects.

Sector and Geography

GCR Investment Zone Sector and Geography
Advanced Manufacturing

Geography of the Investment Zone is Glasgow City Region
Sub Sector Project
Space
Spacecraft Advanced Manufacturing and Testing Centre
Platform for Scaling Responsive Space Systems Research, Innovation & Manufacturing (PRISM)
Semiconductors
Laser Supply Chain and Advanced Packaging
National Centre for Advanced Semiconductors Packaging (NCASP)
Strategic Investment in Glasgow’s Semiconductor Sector, to Develop Advanced Manufacturing Capacity for Sensor Technology
Maritime
Maritime Supply Chain Innovation Centre
Enabling Support Programmes
Tax Site
Investment Fund
Supporting Businesses and Skills Programmes

The Sub-Sectors

£36.9 million funding for two complementary projects, with private sector investment of £71 million.

The Region is a world-leader in satellite manufacturing. In fact, after California, Glasgow City Region is the largest supplier of small satellites in the world, with around 30 companies in the industry.

IZ funding for the Spacecraft Manufacturing and Testing Centre will boost the build of new rockets in GCR and subsequently provide additional launch capacity for more rockets to go into space, many of which carry satellites.

By offering advanced manufacturing services, cutting-edge additive manufacturing technologies, and state-of-the-art equipment rental, this project strengthens GCR’s space and aerospace sectors

The PRISM project, a collaboration of 20 local partners organisations, will vastly enhance our capacity to manufacture satellites and accelerate the volume of satellites produced in the Region.

Focused on accelerating innovation, prototyping, and manufacturing for small satellite technology, Initiative will support GCR to continue to be at the heart of the UK’s thriving space sector.

£65.9 million for three projects with private sector investment of £125 million.

At the forefront of semiconductor innovation, the Laser Supply Chain and Advanced Packaging project, led by the University of Glasgow, supports the growth of this cluster by creating an industry led semiconductor laser prototyping and commercialisation centre and a world leading prototyping capability in advanced packaging.

The new National Centre for Advanced Semiconductor Packaging, led by the University of Strathclyde, will establish a national centre for manufacturing scale up of advanced semiconductor devices such as photonics and power electronics. It will enable manufacturing at scale, allowing companies to grow and collaborate to create a local supply chain and develop an open-access scale-up facility.

The Advanced Manufacturing Capacity for Sensor Technology, led by Neuranics, is designed to further bolster the expansion of this thriving cluster by establishing an industry-led semiconductor sensor technology and commercialisation capability focused on magnetic sensing.

£20 million funding for one project with private sector investment of £67.4 million.

Building on Glasgow’s maritime heritage, the Maritime Supply Chain Innovation Centre emphasises advancing the rapid adoption of decarbonisation technologies among maritime SMEs.

Open-access facilities and shared resources ensure these benefits extend across the supply chain, creating wider economic benefits throughout the economy.

The Proposed Tax Site and Enabling Support

As part of the Investment Zone, there is a proposed £30m Designated Tax Site within AMIDS / Glasgow Airport.

Incentives as part of the Tax Site include:

  • Non-domestic rates relief
  • Enhanced Capital allowance
  • Land & Building Transaction Tax relief
  • Enhanced Structures and Buildings Allowance
  • Employer National Insurance Contributions relief

The Tax Site will act as an investment catalyst and a Non-Domestic Rates retention site.

Supporting the ongoing growth of the Advanced Manufacturing sector in the Region.

The Fund will be available to support key inward investment opportunities that can enhance and complement the established business base.

The GCR IZ programme dedicates ringfenced funding to accelerate business growth and workforce readiness.

Key initiatives include:

  • Tailored Business Support: Providing supply chain companies with targeted resources and expertise to innovate, scale, and commercialize new technologies.
  • Skills Development: Training and upskilling workers for emerging needs in high-growth industries of semiconductors, space, and maritime sectors.

Objectives

The objectives for the Glasgow City Region Investment Zone (GCR IZ) build on the wider aspirations of the Regional Economic Strategy (RES).

  1. Build on strengths of the Region’s current and emerging cluster specialisms
  2. Grow new and existing R&D focused firms which are geared to take advantage of local academic expertise
  3. Create a significant number of mid to high skilled ‘good’ jobs
  4. Generate short and longer-term private sector investment in the Region’s cluster specialisms – both through existing firms and wider supply chain development
  5. Align with existing investment within the Region e.g. City Deal, Innovation Districts / Innovation Accelerator, UK Shared Prosperity Fund
  6. Maximise the impacts through enhancing connections to existing clusters
  7. Facilitate the development / regeneration of under-developed land and assets within the Region
  8. Extends the benefit to the whole Region including developing options for a IZ skills programme for local residents and a regional investment fund.