The Western Isles together with Orkney and Shetland will benefit from a £100 million economic boost.
The investment has been pledged by the Scottish and UK governments under an islands’ growth deal over the next 15 years.
Sectors including tourism, infrastructure, innovation, energy transition and skills, will be targeted to support local sustainable economic recovery and growth.
Proposals for the Western Isles are based around a set of five projects such as an energy hub, visitor destination development, the North Uist spaceport, development of primary industries and an Outer Hebrides campus development.
Innovation projects linking the three island groups are also being developed for skills, talent attraction and entrepreneurial support and creating an island centre for net zero carbon. Creative islands and wellbeing by enhancing the islands cultural, Gaelic and creative assets is another focus.
Specific projects and activities to be supported will be announced over the coming months.
The Scottish Government is injecting £50 million into the deal with the UK Government contributing an equal sum.
Scotland’s infrastructure secretary, Michael Matheson, said: “The Islands Growth Deal is the final regional growth deal to be announced and marks our commitment to invest across all of Scotland, which is something we have pushed for. This money will work to improve the quality of life for island communities, alongside the Scottish Government National Islands Plan we introduced to the Scottish Parliament at the end of 2019.
“This significant investment will support islanders’ ambitions to create world-
“It is important that all deals take account of the unprecedented economic challenges created by coronavirus and we are working with partners, to understand how best to move forward and respond to current circumstances.
“More than £1.8 billion has been committed by the Scottish Government to City Region and Growth Deals and related investments across Scotland, in addition to ongoing capital investment in Scotland’s islands across a range of policy areas.”
Comhairle leader Roddie Mackay said the announcement “represents a good outcome” for the islands.
He said the overall value compares “very favourably” per head of population to other deals in Scotland.
Mr Mackay highlighted the “good result” is the culmination of years of “hard work” as well as a “high quality” submission made by the comhairle and the two other islands councils.
“The announcement is also a vote of confidence by both governments in the economy and future of the Outer Hebrides.
“Our islands have unrivalled natural resources, we offer a world class welcome to visitors, we have some of the richest renewable energy resources in Europe, we have an innovative, adaptable workforce and an enterprising culture and heritage sector.
“All these areas were recognised by both Governments as they assessed the final value of the Islands Growth Deal. These are areas we hope to capitalise on and further develop as Growth Deal funding comes on stream.”
Mr Mackay added: “I am, however, highly aware of the challenges faced by our economy. Our islands have major population and structural challenges that have been exacerbated by the on-
“To overcome some of these challenges and to effect the transformational change our Islands need will require sustained investment over the coming years. I am hopeful, however, that this excellent Islands Growth Deal outcome is the first step in that on-
Scottish Secretary Alister Jack said: “The city region and growth deals will be crucial to our economic recovery from coronavirus.
“Today’s announcement means that every corner of Scotland will benefit from these and takes the UK Government’s investment in growth deals across Scotland to more than £1.5bn.
“These deals are just part of the unprecedented support that the UK Government is providing to people and businesses in Scotland during this time.
“We look forward to working with our partners across the islands and the devolved administration in Scotland to develop innovative and effective proposals.”
Regional Growth Deals are agreements between the Scottish Government, the UK Government and local government designed to bring about long-
£100 million economic boost for Western Isles and Northern Isles
22 July 2020
