Edinburgh and South East Scotland are to receive £37.8 million from the UK Government Local Growth Fund to drive economic growth.
This share of the £140 million fund is announced by the Scotland Office who will work with local and regional partners to “maximise investment benefits”.
The five regions will receive varying amounts from the programme over the next three years as follows:
- Edinburgh & South East: £37.8 million
- Glasgow City: £60.9 million
- Tay Cities: £19.5 million
- Ayrshire: £11.8 million
- Forth Valley Region: £9.8 million
The money when approved by The Ministry of Housing, Communities and Local Government, is intended to be used for regional projects including infrastructure schemes, skills development and business support. It is intended to “make a real difference in terms of skilled jobs and people’s prosperity”.
Secretary of State for Scotland, Douglas Alexander, said: “The UK Government is today backing regional economies across Scotland with £140 million of new investment – including £37.8 million for Edinburgh and South East Scotland.
“This new investment will allow local leaders to decide how best to use the funding, which could include projects to improve infrastructure, business support or skills development. The UK Government will now work with local partners to develop investment plans tailored to each region.
“By investing in local areas, reducing child poverty, and bringing down inflation, the UK Government is focused on delivering material change to people across the country – boosting living standards and improving public services.”
The UK Government has begun a new, targeted and long-term approach comprising four new funds:
- Phase 2 of the Pride in Place Programme (PIPP) – up to £280m for Scotland announced 25 September with neighbourhoods confirmed on 12 December
- the Pride in Place Impact Fund (PIPIF) – £12m for Scotland announced on 25 September
- the Growth Mission Fund (GMF) – £40m for Scotland announced at Autumn Budget 2025 (£20m each for Inchgreen and Kirkcaldy – subject to business case approval);
- and today’s new Local Growth Fund (LGF) – £140m for Scotland over the next three years (2026/27 – 2028/29).
