Two city and growth deals not impacted by funding pause

Two city and growth deals in Northern Ireland will not be affected by a UK Government pause on funding, Stormont leaders have said.

It had been thought that all four deals in Northern Ireland would be impacted by the funding freeze ahead of the Budget at the end of October.

However, deputy First Minister Emma Little-Pengelly has said that the deals for the Belfast regions and Londonderry City and Strabane will be unaffected.

This means that the Derry deal is now expected to be signed next week as originally intended.

Clarification is being sought by ministers on the city and growth deals for Causeway Coast and Glens and Mid South West.

Together the four deals, worth a total of £1.7 billion, cover the whole of Northern Ireland.

The deals are bespoke funding arrangements between the Treasury, the Stormont Executive and local partners.

After ministers had been told by the NIO on Friday that the funding for the deals was being paused, doubt had been cast over the future of a number of planned regeneration and digital projects.

Providing an update on social media on Saturday night, Ms Little-Pengelly said: "The Belfast city deal is unaffected by the Treasury pause.

"This includes all the projects including Bangor, Lagan Valley and beyond.

"The North West City deal is also unaffected and will proceed.

"I am seeking urgent clarity and pushing case on other two City Deals."

First Minister Michelle O'Neill posted on X that the Derry and Strabane deal would go ahead.

She said: "I have spoken with the British Secretary of State and urged the same approach should be taken with the other city & growth deals, and projects like Casement Park.

"These will be major economic boosters for our local economy and should go ahead."

Finance Minister Caoimhe Archibald said she was continuing to press for funding for all the deals.

She said: "These are game-changers for regions across the north, creating jobs and boosting local economies."

Foyle MP and SDLP leader Colum Eastwood said: "I am glad that we have made progress over the last 24 hours and have received confirmation that the Derry City deal will continue as planned.

"This is a good start and we have more work to do.

"Derry and the north west, in particular, needs this level of capital investment to kickstart our ambitions for greater regional balance and progress higher education provision.

"It should never have been placed in doubt."

A Government spokesperson said: "We understand the importance of the Derry City and Strabane deal, which is at a very advanced stage.

"The UK Government is committed to continuing to work closely with the Northern Ireland Executive on this deal, to enable it to deliver growth and opportunity."