Scots councils will bid for £800m ‘levelling up’ fund launched by Tories

The vast majority of Scotland’s councils will bid for money from an £800million “levelling up” fund launched by Boris Johnson, the Sunday Mail has learned.

Senior figures in the SNP have condemned the Prime Minister’s spending plans as a “naked power grab” and accused Westminster of failing to match EU money lost as a result of Brexit.

But we can reveal the UK Government has already funded £2billion of projects north of the Border through the controversial agenda which largely bypasses the Scottish Government.

They include £173,400 to develop a drones hub at Oban airport to transport medicines to island communities, £16.48million to regenerate Granton Waterfront in Edinburgh, £13million to transform stables in Glasgow’s Pollok Park into a tourist attraction and £20million for Aberdeen city centre.

Other projects directly funded by the UK Government include £219,096 to finance a community buy-out of The Old Forge pub – the most remote bar in Britain.

The money is being delivered through several UK Government sources including the Levelling Up Fund,
Community Renewal Fund, Community Ownership Fund and UK Shared Prosperity Fund – all of which are run mainly from Westminster.

Only eight of Scotland’s local authorities applied for money from the first round of Levelling Up Fund money after SNP deputy Westminster leader Kirsten Oswald criticised what she believed was a power grab.

But sources have confirmed a second round of cash totalling £800million to be split between Scotland, Northern Ireland and Wales has attracted bids from almost all councils – 15 of which are at least co-run by the SNP.

A UK Government source told the Sunday Mail: “We are anticipating almost all councils in Scotland are submitting bids for round two of Levelling Up funding, which is significantly more than were received in round one.

“It is great eight strong and innovative projects were successful in round one and we are now looking forward to receiving many more applications in round two.

“After some initial resistance from the SNP, this shows councils of all political stripes, including the SNP, are embracing the UK Government’s levelling up agenda.”

The Scottish Government claims the UK Government delivered £151million less than the EU would have given to Scotland in the first year of Brexit.

It insists the UK Shared Prosperity Fund only allocates £212million to Scotland over three years – 40 per cent less than could have been gained inside the EU.

And the Nats say that, overall, another £162million per year is required to replace the European Regional Development and European Social Funds.

Employment Minister Richard Lochhead said: “The levelling up agenda gives no consideration to Scotland’s distinct needs – and does not compensate for the huge economic damage inflicted on Scotland by Brexit, which has taken us out of a market seven times the size of the UK.

“This has been a breach of faith on the part of the UK Government and the reality is that Scotland’s
communities, which have benefited substantially from decades of EU investment, are losing out.”

Westminster’s public accounts committee found earlier this month that the UKSPF was allocated “entirely on the UK Government’s assessment of priorities”.

The Tories pledged “significant collaboration with the devolved administrations” but the committee was “not yet convinced that this collaboration will be effective in ensuring priorities of the devolved administrations are adequately taken on board”.

Other projects being funded through levelling up include a £359,652 forest tourist attraction in Dunoon and money for mountain biking facilities in the Borders.

Machrihanish Airbase Community Company has secured £184,793 for a green hydrogen project in Argyll and Bute, while in Dumfries the Crichton Quarter 21st Village won £919,710 to create carbon- neutral homes.

Conservative MP and undersecretary of state for Scotland Iain Stewart said: “We want to give everyone, regardless of their background and where they grew up, the chance to thrive, to get ahead and make the most of their abilities – and more importantly allow them to pursue these opportunities where they live, rather than feeling they have to leave their local towns for big cities.

“Just yesterday the latest round of the Community Ownership Fund opened up for applications, meaning more people will be able to bring important buildings back into community ownership, creating jobs and opportunities. We’re delivering right across Scotland, from rural areas to our urban centres.”

Pubs, sports facilities and historic buildings can be taken into community control through the £150million Community Ownership Fund.

Six projects in Scotland have already made successful applications.

Plans for Green Freeports – aimed at creating green jobs and protecting the environment in coastal communities – are being developed by the Scottish and UK governments and have attracted more than £50million of funding.

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