Spring Budget 2024
- Delivery Associates Network
- Mar 11, 2024
- 2 min read
Updated: Apr 9, 2024
Local Growth Highlights
Last Wednesday’s Spring Budget outlined further ambitions for local growth initiatives, with the Chancellor unveiling a package of measures covering devolution, community regeneration, and economic revitalisation.
Devolution deals and capacity building
Central to the budget announcement are new devolution deals, signalling a further shift in power to local authorities. Warwickshire, Surrey, and Buckinghamshire are set to benefit from these agreements, gaining ‘level two’ powers, which includes infrastructure and adult education. This expansion means that 64% of the population of England live within a devolved authority.
Another highlight is the announcement of a new North-East trailblazer deal, representing a ‘level four’ devolution agreement for the North-East Mayoral Combined Authority. This deal provides local leaders with decision-making powers and is accompanied by a funding package potentially worth up to £100 million, aimed at catalysing targeted investments in the region's growth and prosperity.
It was also announced that the government will match industry-led funding of £3 million for planning capacity and resourcing in the next Spending Review period.
Levelling Up programme expansion
The expansion of the Long-Term Plan for Towns means an additional £400 million will be allocated to extend the Plan to twenty new towns. This provides places with ten years of endowment-style funding and support worth up to £20 million to invest in communities and regeneration.
Some £23.7 million will be given to two shovel-ready capital projects in Bradford and Ashfield.
Investment Zones
Investment Zones will be extended from five to ten years in Scotland and Wales, matching the extension announced for England at Autumn Statement 2023. Full details of the four Investment Zones in Scotland and Wales will be announced later this year. Details on the Northern Ireland Enhanced Investment Zone will be published soon.
Funding for housing delivery
Levelling Up opportunities are further bolstered by funding injections aimed at housing and urban regeneration. Barking Riverside and Canary Wharf will be transformed, with £242 million allocated to build just under 8,000 homes, create a healthcare diagnostic facility, and attract life science companies.
The launch of a new Community Led Housing scheme reflects efforts to empower local communities in shaping their built environment. Subject to the development of a Full Business Case, £20 million has been earmarked as social finance funding to support the development of community-led housing schemes over 10 years.
This funding is in addition to the £188 million announced last week towards housing projects in Blackpool, Sheffield, and Liverpool.
Culture and heritage to unlock economic growth
Culture and heritage projects also receive a significant boost, with £100 million from the Levelling Up fund allocated to support cultural and leisure initiatives nationwide. The West Midlands Combined Authority is awarded £15 million for culture and heritage projects, highlighting the role of arts and heritage can play in creating economic development and social value. Furthermore, £5 million is earmarked for renovating village halls across England, reaffirming their importance as focal points of community life.
Developing green technology
Building on the £960 million fund set up in 2023, the Green Industries Growth Accelerator will receive an additional £120 million to strengthen supply chains around green and low-carbon technologies, including offshore wind and carbon capture and storage.
A further £270 million was announced for advanced manufacturing industries to fund car and space innovation, intended to grow the zero-emission vehicle industry and innovations in clean aviation technology.
