A multimillion pound city and growth deal for Derry and Strabane has been officially signed off, while the Northern Secretary has promised to argue for two further deals.
It comes after disappointment and frustration for Northern politicians on Friday after it emerged the funding for four city and growth deals in the region worth £1.7 billion (€2 billion) was to be paused amid a spending review.
Over the weekend it was clarified that two of the deals, Belfast regions and Derry City and Strabane, will not be affected by the suspension.
However, the remaining two deals covering Causeway Coast and Glens and the Mid South West are still subject to the funding pause.
City Deal project partners join Government ministers at the formal signing of the City Deal Financial Deal#CityDealDLS@niexecutive@NIOgov@ulsteruni@mynwrc@westernHSCtrust@C_TRIC pic.twitter.com/4ppLNpvHKv
Advertisement— Derry Strabane Cncl (@dcsdcouncil) September 18, 2024
Derry City and Strabane mayor Lilian Seenoi-Barr hosted Secretary of State Hilary Benn with First Minister Michelle O’Neill, deputy First Minister Emma Little-Pengelly and Finance Minister Caoimhe Archibald at the Guildhall on Wednesday for the signing of the financial agreement for that region’s deal.
The Derry City and Strabane deal will see investment in the Ulster University in Derry, including a School of Medicine and an innovation centre, as well as the regeneration of Strabane town centre and a new museum on the Ebrington site.
The deal will be worth almost £300 million, with a £105 million total commitment from the British government, matched funded by the Northern Ireland Executive with contributions from Derry City and Strabane District Council and its project partners of £83 million.
Ms Seenoi-Barr described the council’s sense of pride at working with the UK government and partners to see the deal delivered, and said it could create more than 6,000 new jobs.
“This is a momentous day for the Derry and Strabane region.
“Thanks to cross-party political support, private sector backing and unprecedented levels of collaboration from all the partners, we’ve succeeded in securing this significant, long-term commitment to transforming the NI economy in the sectors where we have the potential to become world leaders,” she said.
Ms O’Neill said she was delighted to see such a positive day for Derry, describing a once-in-a-generation opportunity.
“It does mark a significant moment of progress and despite all the uncertainty and confusion over recent days, I am glad that we are here now,” she said.
“The decision to pause the city deals was ill-judged and shouldn’t have happened. But we remain focused on this city deal and the other city deals and ensure that we get them all over the line.”
Ms Little-Pengelly hailed a wonderful day celebrating the deal getting to this stage.
“It’s often said that it is darkest before the dawn, and I think we’ve all felt that over the last number of days, but fortunately for this deal, it wasn’t the sunset and indeed it is moving forward and we celebrate that,” she said.
“Today is all about this city and this region looking forward to what I believe is an incredibly bright and optimistic future.”
Speaking at the event, Mr Benn emphasised he was there to “think about the future, not the past”, and said the British government is committed to the Derry City and Strabane deal, describing it as a “huge opportunity for the region”.
Mr Benn blamed the previous UK government for leaving £22 billion of spending commitments that it had not identified any funding for in the current spending review.
He said the Causeway Coast and Glens and the Mid South West deals are at a much earlier stage than the other two, and said he would argue their case.
“One has signed heads of terms, the other has not yet done so. They’re a year or more away from the stage we are at today, and what the government has had to do on a whole range of spending commitments for which there was no money, we need to look at them,” he said.
“Those two deals are now in the spending review, we will find out more when the Chancellor makes her budget statement at the end of October. That’s how we’re taking it forward.
“You can rest assured that as the Secretary of State for Northern Ireland, I will be arguing in support of those two deals because I know, everyone in Northern Ireland knows, how important they are to future economic growth in all parts of Northern Ireland.”
