Almost £16billion of investment will be poured into the North-east economy over the next decade, according to new research.
The 6th edition of Investment Tracker - published by Aberdeen & Grampian Chamber of Commerce in partnership with Invest Aberdeen and Opportunity North East - shows record levels of investment coming into the Aberdeen city region between now and 2033.
On top of £6.5billion worth of projects already delivered since the report was launched in 2016, further infrastructure and regeneration activities totalling £15.9billion are now in the pipeline.
The new report, which will be launched at The James Hutton Institute this morning includes:
- £780million in planned innovation and infrastructure projects as part of the City Region Deal, including £200million earmarked for speeding up rail travel times between the North-east and the central belt.
- £315million worth of investment in the region’s town and city centres, including the new international food market under construction on Union Street.
- £4.2billion worth of transport projects, including ambitious £250million plans to construct a rapid transit scheme in Aberdeen.
- Commercial and residential developments worth £1.75billion, including a £200million plan to expand Union Square, the £30million Denholm Seafoods fish processing facility and the £137.5million Cloverhill housing development at the Bridge of Don.
- A further £403million is being invested in schools throughout the region as part of a near £1billion investment in health and education.
- £368million is being invested in sport, leisure and culture, including £32million developing adventure tourism in the region.
- And £7.45billion is being invested in energy projects across the region, including £1billion+ in the Kintore Hydrogen project alone.
Projects now delivered since the last tracker include the £420million South Harbour development at the Port of Aberdeen, which will be central to Scotland’s energy transition plans, and the ONE BioHub, which will create a unique life sciences ecosystem for research and development in Aberdeen.
Commenting on the launch of the 6th edition of the Investment Tracker, Russell Borthwick, Chief Executive of Aberdeen & Grampian Chamber of Commerce, said: “Since the first in the series was published in 2016, the tracker has demonstrated, at-a-glance, the exciting plans for our city region - it shows that this area has big ambitions for the future and that rumours of the demise of the place that has become Europe’s oil capital are greatly exaggerated.
“Our economy remains strong, with Aberdeen consistently ranking in the UK top 10 for foreign direct investment, regional GVA per capita, and average earnings that are among the UK’s highest. So, if you are not already thinking about business opportunities in the North-east of Scotland, you should be.
“We have the backing of both governments to become a globally-significant renewable energy hub, building on 50 years of pioneering energy activities in the North Sea, protecting and creating tens of thousands of high-value jobs.
“At the same time, great progress continues to be made with the sector diversification strategy, stimulating new activities in our other key areas of strength - healthcare, life sciences, digital technologies, food, drink, tourism, agriculture and fisheries.”
Jennifer Craw, CEO of Opportunity North East (ONE), said: “North-east Scotland is confident about its place in the future economy. It has a clear purpose in diversification and achieving a just transition to a net zero economy.
“The approach to economic transformation pioneered here has identified, developed, secured funding and delivered transformational projects with private sector leadership to boost growth and productivity in established and emerging industries.
“Opportunity North East (ONE), Aberdeen City Council and Aberdeenshire Council, working with partners including Scottish Enterprise, have established an exemplar model for private and public sector regional economic development.
“The message is clear; more investment here will deliver outcomes with a national economic reach. ONE is entering a new investment phase, and, with the right investment, is excited about how much more this region can achieve.”
Commenting on behalf of Invest Aberdeen, Aberdeenshire Council leader Mark Findlater said: “The Aberdeen city region, like many others, has experience significant economic challenges in recent years. However, despite global challenges and uncertainty, we continue to deliver transformational projects and attract investment across the key sectors of our economy.
“The 2023 Investment Tracker highlights that North-east Scotland is a region of innovation and ambition, and we continuously draw on our rich industrial, commercial and international heritage across all sectors. The tracker showcases the many projects due to be delivered under our ambitious investment pipeline.
“The Aberdeen city region is a diverse and vibrant corner of Scotland, with a wealth of skills and knowledge across a range of sectors. Now, more than ever, our focus must remain on maximising this potential and delivering new opportunities to the region.”
Click here to download the Investment Tracker.