The UK Government has released more details regarding two new investment zones in Scotland, with hopes that they will support thousands of jobs and bring in millions in investment.

Following initial plans laid out in the Chancellor’s Spending Review last week, the Government has confirmed the focus of both the Glasgow City Region and the North East Scotland Investment Zones (IZ), each backed by £160 million in public funding.

The Investment Zones, which are joint projects between the UK and Scottish Governments alongside the Glasgow City Region and North East Scotland Regional Economic Partnerships, have been designed to ‘turbo-charge’ each region’s innovation economy, taking advantage of the skills and business infrastructure already in place.

For example, the Glasgow site will focus on advanced manufacturing, specifically targeting innovation in the aerospace, maritime, and semiconductor fields. 

According to Glasgow City Region, the initiative could ‘vastly enhance’ Glasgow’s capacity to manufacture satellites and build new rockets, and enable manufacturing of advanced chips at scale, with the Government estimating this might generate around £300 million of initial private investment and support up to 10,000 jobs in the region. 

Based across the Glasgow City Region, Glasgow’s IZ centres around key sites including the Advanced Manufacturing Innovation District Scotland next to Glasgow Airport, and the city’s two Innovation Districts, Glasgow Riverside Innovation District and Glasgow City Innovation District.

Meanwhile, the North East Zone will focus on green industries as well as the digital and tech sectors, building on the region’s existing strengths in energy and playing a key role in the country’s transition away from oil and gas. 

The Government said it expects this could generate up to £1.7 billion of private investment and support around 18,000 jobs.

Recommended reading

• Clyde Gateway Unveils £500M Innovation District Plans
• Scots Gov Unveils Blueprint to Become Innovation Nation
• New Scottish Technology Council Announced

The North East IZ will be located in Aberdeen and Aberdeenshire, with key sites including the Energy Transition Zone in the city, strategically located by the Port of Aberdeen South Harbour expansion, and Peterhead, which the Government said was well positioned to take advantage of emerging opportunities in green industries with easy access to Peterhead Port.

“The skills and expertise in the Glasgow City Region are perfectly matched to maximising growth in advanced manufacturing, space and maritime, with North East Scotland a world leader in green energy, digital and technology,” said Scotland Office minister, Kirsty McNeill.

“These zones are part of billions of pounds we are investing to back Scottish jobs as we work with local partners to unleash a new era of growth across Scotland.”