The Mid South West (MSW) Region Growth Deal reached a key milestone today as partner representatives from the UK Government, Northern Ireland Executive, and the three participating councils signed the Heads of Terms Agreement in Cookstown.

The Heads of Terms Agreement for the Growth Deal sets out a commitment  by the partners to deliver on a suite of  catalyst Infrastructure, Regeneration, Tourism, Innovation and Digital projects that will contribute to the objectives of the Mid South West Regional Economic Strategy.

The investment package comprises a commitment of £126 million each from the Northern Ireland Executive and UK Government, enhanced by an additional £18.5 million in government funding from the Executive for the A4 Enniskillen Southern Bypass and the Ulster American Folk Park, as well as contributions of approximately £8 million from the Mid South West Region Councils and the potential for substantial private sector investment bringing the potential investment to over £330m.

The signing at The Burnavon came a week after the Chancellor’s confirmation in the Autumn Budget that the UK Government would fund the two remaining Northern Ireland Growth Deals.

First Minister Michelle O’Neill MLA deputy First Minister Emma Little Pengelly MLA, Finance Minister Caoimhe Archibald MLA, Infrastructure Minister John O’Dowd and the Secretary of State for Northern Ireland, the Rt Hon Hilary Benn MP addressed those in attendance ahead of the signing and spoke of a firm commitment to investing in the region and of boosting economic prosperity and sustainable development.

First Minister Michelle O’Neill said:

“It’s a hugely positive day for local communities as we celebrate the signing of the Heads of Terms for the Mid South West Growth Deal.

“We fought hard as an Executive to ensure this significant piece of funding was delivered to drive investment and create more jobs throughout our towns, villages and cities.

“I look forward to working with local councils and people to see the development of exciting projects including the A29 Cookstown Bypass, the A4 Enniskillen Southern Bypass, the Ulster American Folk Park redevelopment and the Armagh Gaol restoration.

“This game-changing deal will help to unlock our economic potential, promote regional balance and see the delivery of transformative infrastructure, education and tourism projects. I am committed to driving forward real and positive change and creating the best opportunities for all.”

Deputy First Minister Emma Little Pengelly said:

“This is a significant day, one that was hard fought for. We are determined to drive economic prosperity across Northern Ireland and the City and Growth Deals are an important element of that.

“The impressive key projects involved in the Mid South West Growth Deal will deliver a much-needed and welcome boost for the area. I have no doubt they will bring a wide range of benefits to local communities and the wider region including better connectivity and enhanced tourist attractions. They will also create job opportunities and pave the way for further private investment in the future.”       

Finance Minister Dr Caoimhe Archibald said:

“While it may have taken slightly longer than anticipated I am pleased to be here today signing the Heads of Terms for the Mid South West Growth Deal. Projects included in this Growth Deal will shape local infrastructure, create job opportunities and further increase the skills base of the region. In addition this significant funding injection will go towards addressing regional imbalance, boosting economic activity helping to attract further investment and opportunities. I look forward to following the Mid South West Growth Deal as it progresses and seeing the transformative changes this investment will bring to the wider region.”

The Secretary of State for Northern Ireland, The Rt Hon Hilary Benn MP said: 

“The £126m of UK Government funding will enable the start of a green transformation, with innovative eco projects helping us to move forward to a net zero future supporting local businesses to thrive.
“This Deal will encourage economic growth not only in the Mid South West region, but across the whole of Northern Ireland.
“I want to pay tribute to everyone whose determination and effort has helped make today’s signing happen.
“It will bring tremendous benefits to the whole community and I will continue to support this deal as we head into the next phase of delivery.”

Kevin Savage, Chair of the MSW Governance Steering Group, and Programme Director Paul Donnelly gave an overview of the Growth Deal’s ambitions and its proposed projects.

The 12 project proposals included in the MSW Growth Deal are:

1. A4 Enniskillen Southern Bypass
2. A29 Cookstown Bypass
3. Armagh Gaol Restoration and Transformation Project
4. Ulster American Folk Park redevelopment
5. Cuilcagh Lakelands Landscape Project enhancements
6. Robotics Automation Packaging Innovation Centre
7. Agri-Bio innovation Centre
8. Green Energy District
9. Desertcreat Green Innovation Park
10. Green Hydrogen Distribution Network
11. Concrete Sustainability Innovation Centre
12. Green Industrial Challenge Fund

Kevin Savage, Chair of the Mid South West Governance Steering Group, said:

“The Heads of Terms Agreement we have signed today is a pivotal commitment that sets us on a path to future-proofing the economic growth of our region. By driving innovation, bolstering our infrastructure, and embracing sustainable growth, we are laying the groundwork for a balanced, thriving economy.

“The Mid South West Growth Deal will be a catalyst for growth, creating good jobs, elevating the region as a hub for innovation, and unlocking economic potential, while also attracting significant private sector investment to further fuel the region’s development.”

Minister for Infrastructure John O’Dowd said:

“This is a significant day for all those who have worked so hard on the Mid South West Region Growth Deal. Getting infrastructure right – and investing in it – can deliver real benefits for our citizens, communities and the economy so I am pleased that my Department is progressing two major schemes included in the Deal: the A4 Enniskillen bypass and the A29 Cookstown bypass. 

“These projects will provide more accessible and inclusive transport options, remove traffic congestion and will help to support the creation of new business and leisure opportunities.  I will continue to work closely with my Executive colleagues and council partners to deliver projects that will bring about positive changes for urban and rural communities.” 

• Read the Mid South West Growth Deal Heads of Terms Agreement

“We welcome the news that the UK Government will stand by its funding commitments  to the Mid South West and Causeway Coast and Glens Growth Deals. This is a very positive outcome which means that we can move forward on the development of our key innovation, green energy and decarbonisation projects designed to boost the economy in these regions.

“Work on projects including the £22m Centre for Food and Drug Discovery (CFDD) in the Causeway Coast and Glens Borough Council area as well as the Industrial Decarbonisation Programme and Agri-food Robotics Automation Packaging Innovation Centre in the Mid South West Region can now go ahead, with the potential to create millions of pounds in return investment as well as thousands of jobs in these areas.

“These Growth Deals are crucial to delivering on the UK Government’s clear priority for sustainable economic growth and the NI Executive Economic plan to boost regional economic performance by delivering good jobs, increased productivity and reduced carbon emissions. We look forward to engaging with the Northern Ireland Office in the coming weeks to progress these Deals to their respective next stages.”

Representatives from the two Northern Ireland Growth Deals that the UK Government have put on hold Westminster with an urgent call to lift the pause on their growth.

A delegation from Causeway Coast and Glens Borough Council and Mid South West Region will be meeting with MPs later on Wednesday, urging them put their case to the Labour Government ahead of the Autumn Budget to lift the pause on their growth.

It emerged last month, on Friday 13^th of September that the Government had decided to pause its funding for the four Northern Ireland City and Growth Deals pending the outcome of its Spending Review. The decision was met with unanimous outrage from the Northern Ireland Executive, which is standing by its commitments to the Growth Deals.

The Government then reversed its decision for the Belfast City Region Deal and the Derry-Londonderry and Strabane City Region Deal, with the latter being signed just five days later. The UK Government has so far not recommitted to contributions of £126 million for the Mid South West Region (comprising Armagh City, Banbridge & Craigavon Borough Council, Fermanagh & Omagh District Council, and Mid Ulster District Council areas) and £36 million for Causeway Coast and Glens Borough Council.

The Northern Ireland Executive reaffirmed its support of £162 million capital funding for the two Growth Deals. However,  the paused UK funds are stalling progress on key innovation, green energy and decarbonisation projects designed to boost the economy in these economically disadvantaged regions, which are the only regions in the UK not to benefit from a Growth Deal.

The Labour Government has blamed a £22bn shortfall in its budget and a need to review funding commitments as part of its Spending Review, but the Growth Deal partners argue it’s unlikely any of the promised £162 million for both regions will be required in this Spending Review period with most of the anticipated spend happening after 2028.

Chair of the MSW Region Governance Steering Group, Kevin Savage said:  “Just last week we marked what should have been a pivotal moment in our Growth Deal, the Heads of Terms Agreement signing. Our delivery partners including the Northern Ireland Executive came together to show their support for the plans to grow the MSW economy.

“Northern Ireland’s First Minister and deputy First Minister have brought our case directly to the Prime Minister. The Finance Minister has also been very active in supporting our campaign through engagement with the Chief Secretary to the Treasurer Darren Jones and we thank them for their work.

“These Growth Deals are crucial to delivering not only on the Northern Ireland Executive’s new plan to boost regional economic performance, but the UK Government’s clear priority for sustainable economic growth.

“We gather today at Westminster to say to the UK Government that we need all the promised funding to fully deliver transformational change, so we urge you lift the pause on our growth and recommit to supporting us now.”

Causeway Coast and Glens Borough Council’s Chief Executive David Jackson said: “The previous Government made a commitment earlier this year when it signed our Heads of Terms Agreement to contribute to delivering fundamental change to the Causeway Coast and Glens economy. 

“If the Prime Minister wishes to reset the economy in the regions as he reiterated recently, then we would urge him to use this opportunity to do so. These projects will not only benefit Northern Ireland but also strengthen the UK’s reputation as a global leader in innovation. Lift the pause on our growth and recommit this funding in the Autumn Budget.”

The First Minister, deputy First Minister and Finance Minister met with Mid South West (MSW) Region partners today on what should have been a pivotal occasion for their Growth Deal, and issued a strong appeal to the UK Government to honour its commitment.

Representatives from Armagh City, Banbridge & Craigavon Borough Council, Fermanagh & Omagh District Council, and Mid Ulster District Council, along with the Northern Ireland Executive and UK Government, were scheduled to sign the Heads of Terms Agreement for the Mid South West Region Growth Deal earlier today.

However, the UK Government’s decision to pause its planned £126 million contribution, pending the outcome of its Spending Review, meant the signing of this significant stage of the investment plan could not proceed as planned.

In response, the councils and Deal Partners involved seized the opportunity to meet with Executive Ministers, updating them on their campaign and discussing the projects that the Executive will continue to support following confirmation that £126 million in capital funding for projects including the Ulster American Folk Park, Armagh Gaol, A29 Cookstown Bypass as well as additional funding for the A4 Enniskillen Southern Bypass is secure.

The UK Government’s postponement of its £126 million contribution is stalling progress on other key initiatives designed to drive innovation, green growth, and economic development across the MSW region.

At the event, MSW Region Deal partners reiterated their urgent plea to the UK Government to lift the pause and proceed with the Growth Deal.

First Minister Michelle O’Neill said: “The Mid South West Growth deal will be a game changer. It will be a catalyst for economic growth and will create good jobs. It needs to go ahead as planned.

“We have raised this issue directly with the British Prime Minister and told him that the decision was unacceptable. The British Government must stand by their commitment.”

Deputy First Minister Emma Little-Pengelly said: “Today was an opportunity to get an update on the range of projects that are proceeding as planned and to see the positive impact they will have. However, it was also a reminder that the pause and continued uncertainty around funding is having a serious impact on other key initiatives, all of which would make such a difference in the Mid South West area.

“We have spoken to the Prime Minister and other UK Government representatives about the need to lift the pause and will continue to apply pressure as we approach the Spending Review.”

Finance Minister Dr Caoimhe Archibald said: “While I welcome the opportunity to be in Dungannon to be updated on the campaign to lift the pause on the Mid South West Growth Deal I would have preferred to be putting pen to paper and signing the Head of Terms today. The signing of that document would have helped in addressing regional imbalance and represented the next step in bringing much-needed investment into the area. There should be no disparity between any of our City and Growth Deals and I again call for the pause on the Causeway Coast & Glens and Mid South West Deals to be lifted.”

Kevin Savage, Chair of the MSW Governance Steering Group, said: “We are grateful to the First Minister and deputy First Minister for coming to Dungannon today to show their support for investment in this region. We also welcomed the Finance Minister who has been working closely with us to save our Growth Deal and we extend our thanks for her ongoing commitment. The Northern Ireland Executive’s continued backing allows us to move forward with key infrastructure, regeneration and tourism projects.

“Our Growth Deal represents a vital opportunity to build on the entrepreneurial spirit of our region by promoting digitisation and innovation in the agri-food, manufacturing, and engineering sectors. Government support for green energy and decarbonisation is essential in transforming our industries as they adapt to climate change.

“This deal is critical to delivering on the NI Executive’s new plan to boost regional economic performance, as well as the UK Government’s clear priority for economic growth. Further delays will threaten the achievement of both UK and NI growth targets.

“We gather today to say to the UK Government: today was a missed opportunity, but the chance to invest and grow  our region still exists. We urge you to lift the pause and recommit to supporting us now.”

First Minister Michelle O’Neill, deputy First Minister Emma Little-Pengelly, Finance Minister Dr Caoimhe Archibald with Mid South West Region Growth Deal delivery partners at the Hill Of The O’Neill & Ranfurly House, Dungannon.

Joint statement from Mid South West Region and Causeway Coast and Glens Borough Council reacting to the Secretary of State for Northern Ireland Hilary Benn’s statement in the House of Commons on the future of the Northern Ireland City Deals:

“It is an understatement that the decision by the UK Government to pause the Causeway Coast and Glens and Mid South West Growth Deals has caused uncertainty.

“We remain extremely angry that the funding committed by the UK Government is now the subject to a Spending Review by HM Treasury.

“The Government continues to blame a £22bn shortfall in its budget and a need to review funding commitments as part of its Spending Review, but it’s unlikely any of the promised £162million for both regions will be required in the Spending Review period and the Treasury know this.

“We welcome the news that the Northern Ireland Executive reaffirmed its commitment to its share of investment in the Mid South West and Causeway Coast and Glens Growth Deals this week. 

“These Growth Deals were designed to be transformative for Northern Ireland as a whole and not just the City Regions. It is hugely unfair that the UK Government would even consider withdrawing this much needed investment from these areas which will only exacerbate regional imbalance and goes against all the early pledges from the new UK Government. 

“We need all the promised funding to fully deliver transformational change and so we call on the Government to lift the pause on our growth, allocate the money in the Autumn Budget and live up to your policies. We will put this case to the Secretary of State when we meet in the coming days.”