Labor details plan to bypass Holyrood with £1.4bn ‘direct investment’ in Scotland – The National

Details of the funding that will bypass Holyrood were laid out by Scottish Labor on Friday.

Many of the announcements are confirmations of “stepping up” funding, a project started under the Tories. The UK government replaced EU funding – which was controlled by the Scottish government before Brexit – with funding it directly controlled.

In Labour’s manifesto, Keir Starmer’s party promised to “return decision-making about the distribution” of these funds “to Scotland’s representatives”. However, they actually moved control to the Scottish Office rather than restoring it to Holyrood.

READ MORE: Scottish Labor office ‘continues centralization of Tory power after Brexit’

In addition, many of the other projects unveiled on Friday – such as the £20m ‘urban development plans’ – have already been announced under the Tory government. However, Labor said the Conservatives had not allocated any funding while they now have.

The SNP said the announcement showed they were “winning the argument” when it came to the need for greater investment in Scotland.

Labor said the £1.4 billion investment over the next 10 years would come “on top of” increased levels of funding for the Scottish Government as a result of Wednesday’s Budget.

Chancellor Rachel Reeves’ spending plans mean an extra £1.5 billion to the SNP government’s budget this year and an extra £3.4 billion for 2025/2026.

First Minister John Sweeney said there were still gaps in the Labor Party’s budgetFirst Minister John Sweeney hailed the budget as a “step in the right direction” but warned there were still loopholes that would “prolong the agony of people in our society” – such as the cap on child benefit for two children.

The projects confirmed to be funded by the UK Government, worth a total of £1.38 billion, are:

• South Ayrshire – Upgrading Fund (LUF) Round 3: Upgrading Ayrshire: Commercial and Low Carbon Infrastructure: £20,000,000
• Glasgow City – LUF Round 3 Drumchapel Town Center Regeneration: £14,979,646
• Moray – LUF Round 3 Elgin City Center Master Plan: Moray Leveling: £18,291.00
• North Ayrshire – LUF Round 3 Alignment for Ayrshire: Commercial and Low Carbon Infrastructure: £17,456,821
• Dumfries and Galloway – LUF Round 3 Dumfries and Galloway Transport Bid: £13,752,000
• Dumfries and Galloway – LUF Round 3 Three Rivers Active Tourism Project – in conjunction with South Lanarkshire and Scottish Borders: £22,809,416
• South Lanarkshire – LUF Round 3 National Business District: Shawfield – Redevelopment and Development: £14,637,600
• Shetland – LUF Round 2: Fair Isle Ferry: £26,762,313
• North Ayrshire – LUF Round 1: B714 Infrastructure Improvements: £23,693,443
• Renfrewshire – LUF Round 1: AMIDS South: £38,725,218
• North Ayrshire – Town Plan: Irvine: £20,000,000
• Inverclyde – Town Plan: Greenock: £20,000,000
• East Ayrshire – Town Plan: Kilmarnock: £20,000,000
• North Lanarkshire – Town Plan: Coatbridge: £20,000,000
• West Dunbartonshire – Town Plan: Clydebank: £20,000,000
• Moray – Town Plan: Elgin: £20,000,000
• Dumfries and Galloway – Town Plan: Dumfries: £20,000,000
• Angus – Town Plan: Arbroath: £20,000,000
• Aberdeenshire – Town Plan: Peterhead: £20,000,000
• Orkney – Town Plan: Kirkwall: £20,000,000
• Dundee – Community Renewal Partnership (formerly LUP): £20,250,000
• Scottish Borders – Community Renewal Partnership (formerly LUP): £20,250,000
• Argyll & Bute – Community Renewal Partnership (formerly LUP): £20,250,000
• Western Isles – Community Renewal Partnership (formerly LUP): £20,250,000
• Glasgow City Region – Investment Zone: £160,000,000
• North East Scotland – Investment Area: £160,000,000
• Highland – Cromarty Green Freeport: £26,000,000
• Falkirk, Fife, Edinburgh – Forth Green Freeport: £26,000,000
• Argyll & Bute – Argyll & Bute Rural Development Deal: £25,000,000

The UK government also has £492m of funding confirmed for Scotland “available for any unapproved deal projects that are not fully approved”, Labor said, bringing the total to £1.4bn.

MSP Daniel Johnson said: “Labour’s direct investment in these projects will strengthen local communities and economies – but we need a Government with ambition at Holyrood too.

“Now Labor has ended austerity, the SNP has no excuses for its own economic failure – it’s time for a change.”

SNP MSP David Torrance said: “It is clear that the SNP is winning the argument about the need for more investment in our NHS and public services. We welcome those areas where the Chancellor has listened, including the decision to change the Labor government’s conservative fiscal rules to allow more investment.

READ MORE: Is Scotland let down by budget funding technicalities?

“However, the chancellor’s decision to cut the winter fuel payment will leave around 900,000 Scottish pensioners up to £600 worse off this winter. The decision to keep the cap on child benefit and the bedroom tax will push thousands of Scottish children into poverty. the decision to raise National Insurance will hit low and middle income workers and small businesses the hardest.

“After 14 years of the Tories, this UK Budget should have been the chance to completely turn the page, but people in Scotland are still paying the price for Brexit and Westminster cuts that are wiping billions of pounds from public finances and household incomes.”