£37.8m UK Government Local Growth Fund provides Green Light for Major New Housing and Green Skills Hubs

The investment is part of an overall award of £37.8m for Edinburgh and South East Scotland City Region from the UK Government's Local Growth Fund and will support future housing delivery, retrofit and green economy jobs in the region. Additionally, the funds will drive regional employability and business growth initiatives, while financing transport planning and research into the impact of AI.

The UK Government has now released £14.09m to Edinburgh and South East Scotland Regional Partnership after signing off on its locally designed three-year Local Growth Fund investment plan, which targets areas with the lowest household incomes to create jobs and boost living standards. Funding for Years 2 and 3 will be rolled out as the region progresses through its plans.

Scottish Secretary Douglas Alexander said: "Today the UK Government is releasing more than £14 million to Edinburgh and South East Scotland partners who know their communities best.

“These funds will be crucial for addressing skills shortages, driving green innovation and removing barriers to local employment and infrastructure development.

“The UK Government is committed to empowering local communities by spreading power throughout the country. These funds will support local leaders throughout Scotland to create skilled jobs, help start up businesses and revive our local high streets."

Mr Alexander visited the West Lothian College Campus today, to launch the UK Local Growth Fund, see the site of the future training facility and meet students. 

A partnership between the four regional colleges of Borders, Edinburgh, Fife, and West Lothian plans to train over 20,000 new entrants across the region over the coming decade as well as upskill existing workers.

South East Scotland is the fastest growing region in Scotland, with some of the highest housing demand for now and into the future. The new training hubs will be strategically important in the delivery of 40,000 new homes across the region’s seven strategic housing sites.

The training centre in the south of Scotland will also benefit from Scottish Government funding through the Borderlands Inclusive Growth Deal.

Leader of West Lothian Council, Councillor Lawrence Fitzpatrick said: “This is a significant boost for West Lothian and the wider Region and I am delighted that this UK Government funding initiative will provide opportunities for local people. There is a clear need to upskill local people within the construction sector over the coming years and this initiative will help ensure West Lothian has the workforce it needs to flourish in the years ahead.”

According to a report undertaken by the University of Edinburgh and West Lothian College, the region has a construction workforce of 57,000, of which 21,000 (34%) commute for work into the region from other parts of Scotland daily. The study identified that the region requires an additional 20,000 new entrants, upskilling roles and replacement construction workforce over the next 10 years.

Hazel Brady, Principal of West Lothian College said “The training hubs represent a defining opportunity for our region and for Scotland, bringing focus, pace, and purpose to meeting the growing demands of retrofit, renewables, and construction.

Through our cross-college collaboration, we are not simply responding to change but actively shaping it. This is strengthened by our ability to work hand in hand with regional partners, employers, and industry leaders to ensure we carve out the jobs of the future.

I am delighted that West Lothian College played a key role in driving this unique project forward, enabling us to collectively expand our offering to students and ensure we meet the needs of our regions while supporting Scotland’s net zero ambitions”.