PKC opposition councillors call for Levelling Up cash rethink

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Opposition PKC councillors have joined forces in writing to the chancellor over the loss of £5m Levelling Up cash for Perth.

It follows a letter to Rachel Reeves by Perth and Kinross-shire SNP MP Pete Wishart last week expressing dismay that the cash to fund three Fair City projects had been scrapped in last week’s budget and urging her to honour the funding.

PKC SNP leader Grant Laing also described the UK Government’s decision as “extremely disappointing” and “short-sighted”.

The three projects are the £3m restoration of Perth’s Lower City Mills as a tourist attraction, the £1.5m conversion of vacant former city foundry into an exhibition and workspace, and £500,000 to turn vacant High Street tourism centre into a shopfront for Perthshire food and drink providers.

Now PKC Conservative leader John Duff and the local authority’s only Labour councillor have also written to the chancellor urging her to reconsider.

Councillors Duff and Bailey said they had asked the chancellor that PKC be given priorty in any repacement UK funds for Levelling Up.

Councillor Duff said: “The withdrawal of these funds, just eight months after they were given to the city, is a devastating blow. This grant was small in comparison to the awards made to other Scottish cities and towns, but they would have assisted in the recovery of our city centre.

“We put a lot of work into progressing the three projects and that effort could now be wasted by this U-turn.

“The Labour Government will no doubt bring in a replacement scheme for Levelling Up so we have asked that Perth and Kinross be considered a priority for future funding of this nature.”

Councillor Bailie Bailey said: “Perth and Kinross has various challenges already when it comes to funding for capital projects so I’m keen to hear what funding will replace this Levelling Up funding.

“Hopefully that funding doesn’t come with as many strings attached to it. I said at the time that the projects were a little contrived to fit the funding offer.

“However, it would be unfair if Perth’s late inclusion in the Conservative plans wasn’t reconciled by the incoming new government.”

The previous Conservative UK Government established the Levelling Up Fund which distributed grants to a variety of cities, towns and regions across the UK as a post EU Exit replacement for money distributed via EU funding.

In this year’s spring budget the UK Government recognised the case for some Levelling Up money to go to Perth and the three projects were identified.

An update on the UK Government website - referring to £5 million funding previously pledged for Perth and £5 million for Dunfermline - states: “Given the need to make savings, the government has announced that it is minded to withdraw funding from the below Levelling Up Culture Projects and Capital Regeneration Projects announced at Spring Budget 2024, but will consult these places before making final decisions.”

Ministers are to confirm the outcome of the consultation process in due course.

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