Nearly half a billion pounds of investment announced for region

The Hitachi Aycliffe train factory which is currently being built at Newton Aycliffe. The new funding will support supply chain companies to Hitachi

A chemical plant at Wilton, near Redcar. The new money will support the creation of a new research laboratory in the area

First published in News

AN HISTORIC £490m investment programme which could lead to the creation of 9,000 jobs across the region is announced by the Government today (MON, JULY 7).

The North-East and North Yorkshire has won some of the biggest Government grants across the country for business, research, housing and infrastructure investment.

A total of £22.9m has been allocated to the Tees Valley area in the first year from 2015 to 2016; £34.2m to York and North Yorkshire and £111.7m in the rest of the North-East.

However the Tees Valley, from Darlington to Redcar, will eventually receive an estimated overall figure of £90.3m in the coming years from the Government Growth Deal Fund. York and North Yorkshire will eventually be granted about £110.1m and the rest of the North-East £289.3m.

The Government investment could eventually be doubled with match funding from councils and businesses. The region’s Local Enterprise Partnerships (LEPs) in the Tees Valley, North-East and North Yorkshire have helped developed the projects with various organisations and presented them to the Government in a bid for funding.

It is hoped the projects in the Tees Valley will create up to 1,000 jobs and 2,000 new homes while 4,000 jobs and 5,000 homes could be created in York and North Yorkshire and 4,000 jobs in the rest of the North-East.

Eye-catching schemes supported by the grants include:

* investing in Newton Aycliffe’s Merchant Business Park for to accommodate supply chain companies for the soon-to-be-built, £82m Hitachi train building factory in the area

* a study into remodelling of Darlington’s Bank Top station and a new road for Durham Tees Valley Airport

*Teesside University’s Central Park National Horizons Centre, a national centre for biologics, subsea engineering and digital manufacture in Darlington as well as expanding the plans for the nearby Central Park residential, leisure and commercial development between Haughton Road and Yarm Road

*Refurbishing the Newcastle Central Metro Station, part of Newcastle Central Train Station and roads

*an Oil and Gas Academy at Redcar and Cleveland College for specialist training

*an offshore wind power research centre in Middlesbrough

*a new chemical research lab at Wilton, near Redcar

*upgrading the Government’s Agri-Food research centre at Sand Hutton, York creating up to 800 jobs

*upgrading Hartlepool ‘s Cleveland College of Art and Design to completment Hartlepool’s existing plan to create an ‘innovation and skills’ centre in the town centre.

The Tees Valley LEP hopes an additional £80m in private and public investment will be attracted to the various projects, York and North Yorkshire LEP estimates an additional £120 will come in and the North East LEP expects another £90m.

Bill Dixon, leader of Darlington Borough Council, Labour, said: “We are confident that the projects we will support will provide the building blocks for real growth and job creation across the Tees Valley.”

Paul Woolston, chairman of the North East LEP, said: “The deal will act as a catalyst to lever in substantial private and public investment, creating thousands of jobs and providing sustainable, long-term growth. It marks the beginning of an exciting journey for the North-East.”

John Weighell, leader of North Yorkshire County Council, Conservative, said: “This long-term investment recognises the potential of the rural economy in York and North Yorkshire, enabling us to develop the key infrastructure needed to support our growing businesses and enable over 5,000 homes to be built.”

The Growth Deal funding across the country, which will eventually total £12bn, will be announced by the Prime Minister, David Cameron and Deputy Prime Minister, Nick Clegg.

Estimates for £6bn worth of investment will be outlined today with more concrete details for the first year’s funding of £2bn.

Comments (3)

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1:13am Mon 7 Jul 14

bbcid001 says...

Tour de france here in the North of England and the the Torys bribe us with a few bob to keep it all peaceful when those same torys are encouraging UK jobs are given to people from overseas rather than training up our own UK young people to do the jobs on offer.
In London it is common knowledge that jobs go to overseas workers, in IT,
eg on the Thames one office of probably hundreds, hosts 300 workers, of which 268 are from India, now come on, we could give those jobs to our UK young with a bit of training thrown in. !!!!!!!!!!!!!!!!
Tour de france here in the North of England and the the Torys bribe us with a few bob to keep it all peaceful when those same torys are encouraging UK jobs are given to people from overseas rather than training up our own UK young people to do the jobs on offer. In London it is common knowledge that jobs go to overseas workers, in IT, eg on the Thames one office of probably hundreds, hosts 300 workers, of which 268 are from India, now come on, we could give those jobs to our UK young with a bit of training thrown in. !!!!!!!!!!!!!!!! bbcid001
  • Score: 8

12:11pm Mon 7 Jul 14

John Durham says...

Its all very well the government making these grand announcements but the truth behind these supposedly 'historic' figures is somewhat different.
Less money being allocated than the previous government, poor take-up of schemes, little money actually being spent (of the £2.9 bn allocated nationally so far only about £750m has actually come out of Treasury coffers).
The National Audit Office have twice criticised the government for the scheme's lack of value for money and inefficiency of schemes.
But no doubt this will be one of those 'we will get it right eventually' promises made by the Tories. Well they've had over four years - can we trust them to deliver in the next parliament - I think not.
No wonder the region continues to fall further behind the rest when it comes to regional growth and government spending.
Its all very well the government making these grand announcements but the truth behind these supposedly 'historic' figures is somewhat different. Less money being allocated than the previous government, poor take-up of schemes, little money actually being spent (of the £2.9 bn allocated nationally so far only about £750m has actually come out of Treasury coffers). The National Audit Office have twice criticised the government for the scheme's lack of value for money and inefficiency of schemes. But no doubt this will be one of those 'we will get it right eventually' promises made by the Tories. Well they've had over four years - can we trust them to deliver in the next parliament - I think not. No wonder the region continues to fall further behind the rest when it comes to regional growth and government spending. John Durham
  • Score: -1

1:11pm Mon 7 Jul 14

gramps427 says...

I like how the headline shouts loud just before the reality hits! Just over £22 million for the Tees Valley in 15-16 with absolutely nothing new announced. The Tees Valley Airport does not need a new road, it needs new owners who will develop an airport not a scrap yard. The 5 Councils are ignoring applications under Freedom of Information requests about the sale of the airport to Peel from concerned residents of this region. There is something seriously wrong with how this has come about and the behaviour of all parties involved with the deal. The owners, part of the Peel organisation, have twice been refused funding under the regional Growth Fund, why? This smells of a cover up, there will be consequences for those who are hindering attempts for the release of information- if there is nothing wrong, why are these Councils scared to release the information?
I like how the headline shouts loud just before the reality hits! Just over £22 million for the Tees Valley in 15-16 with absolutely nothing new announced. The Tees Valley Airport does not need a new road, it needs new owners who will develop an airport not a scrap yard. The 5 Councils are ignoring applications under Freedom of Information requests about the sale of the airport to Peel from concerned residents of this region. There is something seriously wrong with how this has come about and the behaviour of all parties involved with the deal. The owners, part of the Peel organisation, have twice been refused funding under the regional Growth Fund, why? This smells of a cover up, there will be consequences for those who are hindering attempts for the release of information- if there is nothing wrong, why are these Councils scared to release the information? gramps427
  • Score: 1

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