£33bn capital spend outlined in new Infrastructure Investment Plan

A five-year plan for £33 billion of capital investment that will support 45,000 jobs and build healthcare facilities, schools and local facilities across Scotland has been outlined by the Scottish Government in the Infrastructure Investment Plan (IIP) and Capital Spending Review.

£33bn capital spend outlined in new Infrastructure Investment Plan

The Baird Family Hospital and ANCHOR Centre in Aberdeen

A National Mission with Local Impact: Infrastructure Investment Plan for Scotland 2021‑22 to 2025‑26 accepts the Infrastructure Commission for Scotland’s recommendations on the strategic investment priorities required to achieve an inclusive, net zero emissions economy in Scotland. It was open for public consultation during Autumn 2020 and attracted 147 responses.

A further £2bn has been added to the plan since the draft version was published in September and new funding announcements include £110 million for digital public services transformation, £50m for Active Freeways and £60m for climate adaptation of the trunk road network.



The plan also outlines investments including:

  • £2.3bn for healthcare, including the £204m additional funding for The Baird Family Hospital and ANCHOR centre in Aberdeen as well as the Grampian, Perth and Kirkcaldy elective facilities, and £67m for the provision of a new health and social care community hub in Parkhead
  • £2bn for education and learning facilities, including a new city centre primary school and a new Gaelic school in Glasgow, with up to £90m towards the Dunfermline Learning Campus
  • significant investment to strengthen connectivity across Scotland with £600m for the R100 programme
  • around £1.5bn towards transport, including £550m for rail decarbonisation, over £500m for bus priority, over £550m for active travel infrastructure projects and £287m for the Future Transport Fund
  • measures to support climate adaptation include £150m additional funding for flood risk management and £12m for coastal change adaptation.

Infrastructure secretary Michael Matheson said: “Since we published our draft IIP in September, we have received broad support for our world-leading approach and have increased the total spend by £2bn to further boost our economic and green recovery from the pandemic.

“Our overall focus is on driving inclusive economic growth, the transition to net zero, and building resilient and sustainable places. This package of significant investment will support economic confidence in every corner of Scotland and send out a clear message that we will continue to do all we can to secure our recovery from coronavirus (COVID-19). In the process we will also be supporting over 45,000 jobs and building a strong future for Scotland.”



Morag Watson, director of policy at Scottish Renewables, welcomed the Scottish Government’s vision for infrastructure to support and enable an inclusive net-zero economy.

Ms Watson said: “With green hydrogen set to play a key role in our future energy system, we welcome the Emerging Energy Technologies Fund and encourage the Government to invest in developing a green hydrogen economy in Scotland and to realise the potential to deliver 310,000 jobs and £25bn GVA by 2050 as set out in its Hydrogen Assessment Report.

“The heat sector accounts for more than half of the energy used in Scotland, and more than half of its emissions, with currently only 6.5% of our non-electrical heat demand generated from renewable sources. The £1.6bn funding announced to decarbonise heat in buildings over the next five years will enable the renewables industry to continue to work with Government to deliver clean, affordable heat to Scotland’s homes.

“Transport accounts for almost a quarter of Scotland’s energy use and the £120m of investment in the transition to net-zero electric buses will help decarbonise this sector using clean electricity from the country’s renewable energy sector which, currently supplies over 90% of Scotland’s electricity consumption.”



Also published yesterday, Investing for Jobs: Capital Spending Review Framework 2021-22 to 2025-26 outlines full delivery of the National Infrastructure Mission (NIM), showing how it and the IIP are affordable, prudent and realistic.

It sets out the detailed capital budget allocations for each of the five financial years from 2021-22, permitting as much certainty as possible at this time to aid medium-term planning by public bodies and the market.

Investments/assets for each region are listed below.

Highlands & Islands: 

  • Inverness and Highland City Region Deal investment as well as Moray and Islands Growth Deal investments
  • £30m in delivering the National Islands Plan
  • over £6m to Highlands and Islands Enterprise to deliver the Green Jobs Fund
  • strengthened connectivity and a future-proofed superfast broadband network through the £600m R100 programme
  • replacement health facilities on Barra (St Brendan’s) and new North of Scotland elective care centre in Inverness
  • learning estate projects such as the Castlebay Campus, the Tain 3-18 Campus, Findrassie and Broadford Primary Schools and Nairn Academy
  • support for the reinstatement of the Cairngorm Funicular with a further £10m
  • improvements to piers and harbours and support ferry services to and from Scotland’s islands. This includes the Skye Triangle and proposed projects at Lochboisdale, Armadale and Kennacraig, and an Oban Masterplan
  • funding for two new ferries designed to provide a year round service to the Isle of Arran and the Uig Triangle
  • conclude the HMP Highland facility

Mid Scotland & Fife: 

  • Edinburgh and South East Scotland, Stirling and Clackmannanshire and Tay Cities City Region Deals investments as well as Falkirk Growth Deal investment
  • Perth and Kirkcaldy elective care facilities
  • learning estate projects at Callander Primary School, Perth High School, North Perth Primary School and Inverkeithing High School
  • for Colleges, we invest up to £90m in the Dunfermline Learning Campus
  • National Facility for Women Offenders

North East Scotland:

  • Aberdeen City Region Deal investment
  • over £200m in the Baird Hospital and Anchor Centre project in Aberdeen as well as Grampian elective care facilities
  • learning estate projects at Peterhead Community Campus, Monifieth High School and a new campus to replace Cragie and Braeview High Schools in Dundee
  • Dundee Community Custody Unit
  • we will continue to support businesses in the energy sectors as they grow and diversify through our £60m Energy Transition Fund, focused on the North East, and helping the wider energy sector and supply chain
  • Aberdeen to Central Belt Rail improvements

Glasgow & West of Scotland:

  • Glasgow & Clyde Valley City Region Deal investment as well as Argyll and Bute and Ayrshire Growth Deal investments
  • £67m for the provision of a new health and social care community hub in Parkhead that will replace 10 different buildings across Glasgow North east area and £10m to complete the National Secure Adolescent Inpatient Service in Irvine
  • conclude our £75m investment in the National Manufacturing Institute Scotland
  • learning estate projects in Ardrossan Community Learning and Innovation Hub and Montgomerie Park Primary School in North Ayrshire, Doon Valley Community Campus and St Sophia’s Primary School in East Ayrshire, Neilston Primary School and St Thomas’ Primary School in East Renfrewshire and Faifley Campus in West Dunbartonshire, Newton Farm Primary School in South Lanarkshire; as well as a new city centre primary school and a new Gaelic school in Glasgow
  • £100m to support the modernisation of the Glasgow Subway
  • rail service improvements between East Kilbride and Glasgow
  • £25m investment in zero carbon energy infrastructure for residential and commercial premises along the river Clyde
  • £25m to support the Clyde Gateway’s 20 year programme of regeneration
  • replacement HMP Glasgow facility to provide a fit-for-purpose community facing prison as well as the Glasgow Community Custody Unit

Lothians:

  • Edinburgh and South East Scotland City Region Deal investment
  • Edinburgh Cancer Centre and the Short Stay Elective Centre in St John’s Hospital in Livingston
  • learning estate projects in Liberton High School, Wester Hailes Education Centre and a new community high school in Edinburgh; Wallyford High School and Whitecraig Primary School in East Lothian; Mayfield Primary School, Beeslack Community High School and Penicuik High School in Midlothian; and Beatlie Additional Support Needs Campus and East Calder Primary School in West Lothian
  • we will invest up to £58m in the Biomes project at the Royal Botanic Garden Edinburgh to transform the garden’s estate

South of Scotland:

  • Borderlands and Ayrshire Growth Deal investments as well as Edinburgh and South East Scotland City Region Deal investment
  • £20m to further increase tree nursery capacity, investing in new and redeveloped facilities at Newton Don Nursery, near Kelso
  • learning estate investments at Dumfries High School, Galashiels Academy & Peebles High School, and Maybole Community Campus in South Ayrshire
  • £3.6m to South of Scotland Enterprise to deliver the Green Jobs Fund.
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