The £3m restoration of Perth's Lower City Mills is under threat following UK Budget funding uncertainty (Image: Perthshire Advertiser)

Perth MP in plea to UK Government over Levelling Up funding "shambles" for city projects

by · Daily Record

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A call to fund three landmark Perth projects was made this week after it emerged that crucial Levelling Up funding is to be withdrawn.

Perth and Kinross-shire MP Pete Wishart made the plea to the Scotland Office following the strongest indication yet from the UK Government that the original £5m will no longer be forthcoming.

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.

Mr Wishart’s latest intervention follows a letter he sent in October to UK Chancellor Rachel Reeves after her Budget confirmed the £20m Levelling Up awards for both Dundee and Arbroath, but failed to mention Perth.

The SNP MP has since received a response from the Parliamentary Under-Secretary of State for Local Growth, Alex Norris MP, which suggested Perth’s award will be withdrawn.

It stated: “Given the need to make savings, the Government is minded to withdraw funding from the Levelling Up Culture Projects and Capital Regeneration Projects announced at Spring Budget 2024, including for Perth.”

Perth and Kinross Council leader Grant Laing has already described the loss of the cash as “extremely disappointing” and “short-sighted” and opposition PKC Tory leader John Duff and the local authority’s only Labour councillor Alasdair Bailey joined forces to urge Ms Reeves to honour the funding.

In response to Mr Norris’s letter, Mr Wishart has now called on the Secretary of State for Scotland, Ian Murray, to have the Scotland Office provide the £5m in order to allow the projects to be delivered. This is in light of recent revelations that the Scotland Office is set for a 14% funding increase, with the Labour government committing to spend £1.38 billion over the next decade - or £138m annually – on projects in Scotland.”

Commenting, Mr Wishart said this week: “The handling of Perth’s Levelling Up funding has been utterly shambolic ever since the scheme was conceived.

“Perth and Kinross Council was snubbed in multiple rounds of funding, which left it as the only local authority in Scotland with a city not to receive a penny from the scheme, whilst other councils received tens of millions of pounds.

“Then, in the dying days of the Tory government, we were awarded a paltry £5 million, only for it to be taken away again weeks later by the new Labour Government.

“Whilst we all have reservations about the true intentions of the Scotland Office’s recent funding boost, if the UK Government is serious about promoting “brand Scotland”, then this is Ian Murray’s chance to put his money where his mouth is and offer the £5m to PKC in order to deliver these three fantastic projects once and for all.”

A UK Government spokesperson said: “After inheriting a £22 billion fiscal black hole from the previous government, we had to make difficult choices to fix the foundations of the country and restore economic stability.

“The UK Government is consulting on the withdrawal of Levelling up cultural funding awarded in the Spring 2024 Budget.”

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