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City deals pause is 'body blow'

Department of Finance/PA A group of people wearing suits standing on the steps in front of Stormont, which is a white building with 6 pillars on the front and lots of square windows. Department of Finance/PA
Causeway Coast and Glens council, and the Mid South West group attended a press conference at Stormont.

The decision by the UK Government to pause two city deals for Northern Ireland is a "body blow", according to the chief executive of one of the councils affected.

Funding for the Mid South West and Causeway Coast and Glens plans remain under threat.

On Monday, representatives from those areas met executive ministers at Stormont to push their case.

David Jackson, chief executive of Causeway Coast and Glens Council said he remained hopeful the deals would progress.

City deals are regeneration funding packages worth more than £1.5bn, with about £600m coming from central government.

Earlier this month, the Labour government announced that two of the four deals for Northern Ireland had been paused, ahead of spending review at the end of next month.

Finance Minister Caoimhe Archibald said she remained "unwavering" in her commitment to get the funding unpaused immediately.

Finance Minister Caoimhe Archibald - A woman with long brown hair wearing large glasses with a dark frame. She is wearing a light pink top with a navy blazer, standing in front of press microphones.
Finance Minister Caoimhe Archibald said she remained "unwavering" in her commitment to get the funding unpaused immediately.

She said the government needed to honour its commitments as the deals would be "game-changing" for their areas.

Asked if Stormont would step in if the UK Government does not agree to progress the funding, she replied: "I'm not in the headspace of the British government not going ahead with these deals.

"A lot of time and effort has already gone in, we need to see the prioritisation of investment."

Mr Jackson said his council was "trying to focus on the positives" and had been reassured by Monday's meeting.

He added: "We have £30m of private sector investment waiting to roll in, they won't wait too long."

'Too big to fail'

Councillor Kevin Savage, from the Mid South West governance steering group, said he had "complete confidence" in the executive to pursue their case.

"I am much more reassured today... this is too big to fail, we need this."

He said he had not been given a deadline by ministers, but added the group ideally needed it to be in place by 30 October and that officials will be pressing preparations until they get the green light from the government.

Projects in the paused Causeway Coast and Glens deal include:

  • Centre for food and drug discovery at Ulster University Coleraine
  • Innovation hub at North West Regional College, Limavady
  • Dungiven and Bushmills regeneration
  • Cushendall innovation centre
  • Coleraine leisure and well-being centre
  • Portrush to Bushmills greenway

Mid South West have not published an itemised list, but said their projects would focus on skills, innovation, infrastructure and the tourist economy.