PHILIP Hammond has been accused of “short-changing” a major new investment project in Scotland.
The Chancellor announced £150 million of UK Treasury cash will be handed to the Tay Cities Deal as he presented his Budget to Westminster.
However this falls short of the £200m committed by the Scottish Government – sparking accusations Dundee has been sidelined.
The overall investment aims to create 15,000 jobs across Dundee, Perthshire, Angus and North East Fife, as well as pumping money into transport links and infrastructure projects.
Similar schemes centred on Edinburgh and Glasgow – which have been funded equally by the UK and Scottish governments – will see money funnelled into a new 1000-seat concert hall and the development of vacant and derelict sites around Clyde Waterfront, among other plans.
Responding to the Budget, Finance Secretary Derek Mackay accused Mr Hammond of failing to deliver on promises that city deal funding should be matched between the two governments.
He said: “The reality of today’s UK Budget is that Scotland continues to be hit by UK austerity and the decision to leave the EU.”
Meanwhile, Dundee West MP Chris Law wrote on Twitter: “The UK Government's failure to match the Scottish Government’s £200 million investment in the #budget18 both short-changes Dundee and lacks having true ambition for the Tay City Deal.”
But Scottish Secretary David Mundell insisted the UK Government was helping to drive growth and investment.
He said: “I welcome the significant investment – £150 million – in the Tay Cities Deal.
“The deal will drive economic growth in Tayside, boosting jobs and prosperity throughout the region.
“In all, the UK Government is investing more than £1 billion in city region deals right across Scotland, helping to drive growth in Scotland’s economy.”
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