The long-awaited multimillion pound first round Local Growth Fund settlements with 39 Local Enterprise Partnerships to spend on homes, transport skills projects across England were announced today.
The first wave of Growth Deal settlements announced today amount to £2bn a year and will be rolled out over the next six years bringing the total committed support devolved to the regions to £12bn.
In many cases funding has been agreed with LEPs beyond 2015/16 to kick start longer term projects and help lever in private sector cash over the longer term.
Leeds City Region LEP, for example, secured £573M from the Government’s Local Growth Fund to support economic growth in the area over the next six years. This includes £62M of new funding confirmed for 2015/16, £233.3M for 2016/17 to 2021 to add to the £277M previously committed
Greater Manchester also emerged as the biggest first year winner securing £170M in 2015/16 and a total of £477M from the Local Growth Fund over the next six years including £18M to revamp the Metrolink tram system.
Greater Birmingham and Solihull has secured £357M over six years, including funds to expnd the light rail system and maximise the potential benefit of the HS2 project as it arrives at Curzon Street.
“In every experience I have had of backing local people, local experience and local initiative the results have seriously exceeded expectations,” said Lord Heseltine, chair of the Regional Growth Fund Advisory Panel. “Today’s announcement is a giant step in the rebalancing of our economy.”
Highlights from the competitively bid funding settlement include:
Black Country: £35M
Buckinghamshire Thames Valley: £11M
Cheshire and Warrington: £20M
Coast to Capital: £44M
Cornwall and the Isles of Scilly: £11M
Coventry and Warwickshire: £18M
Cumbria: £9M
Derby, Derbyshire, Nottingham & Nottinghamshire: £47M
Dorset: £24M
Enterprise M3: £35M
Gloucestershire: £24M
Greater Birmingham and Solihull: £63M
Greater Cambridge & Greater Peterborough: £21M
Greater Lincolnshire: £48M
Greater Manchester: £170M
Heart of the South West: £63M
Hertfordshire: £53M
Humber: £29M
Lancashire: £84M
Leeds City Region: £73M
Leicester and Leicestershire: £28M
Liverpool City Region: £46M
London: £151M
New Anglian: £60M
North Eastern: £112M
Northamptonshire: £19M
Oxfordshire: £16M
Sheffield City Region: £46M
Solent: £46M
South East: £84M
South East Midlands: £31M
Stoke on Trent and Staffordshire: £21M
Swindon and Wiltshire: £13M
Tees Valley: £23M
Thames Valley Berkshire: £17M
The Marches: £13M
West of England: £79M
Worcestershire**: £13M
York and North Yorkshire: £34M
Total: £1735M
Funding and borrowing to be assigned*: £267M
Total: £2002M
*This includes match funding for European Social Fund skills activities and Housing Revenue Account Borrowing, which is to be confirmed during Autumn 2014.
**Includes £2.4m broadband investment; additional payment of this sum dependent upon full delivery of planned LEP projects.