Plymouth Freeport first in the UK to get the full go-ahead

The business case for Plymouth and South Devon's freeport has now been given full business case approval

Author: Oliver MorganPublished 7th Dec 2022
Last updated 9th Jun 2024

The Plymouth and South Devon Freeport has now officially - and fully - been approved to go ahead.

Plymouth City Council and the Freeport claim new employment land, new businesses, thousands of jobs and millions of pounds of investment will now be flowing to the region, thanks to the fresh approval by the Government earlier today (December 7).

It's the first of eight Freeports - along with two others - to get the green light, with it set to include £29m of investment from local councils and £25m of essential infrastructure from the Government to get it off the ground.

The Plymouth and South Devon Freeport is expected to:

  • Deliver 3,500 jobs
  • Majorly expand Princess Yachts
  • Support £30m Oceansgate Innovation Centre
  • Leverage £250m investment from the private sector
  • Accelerate advanced manufacturing in marine, defence and space
  • Put 'low carbon' manufacturing at the fore
  • South Yard, Langage and Sherford to be brought forward as 'emplyment land'

What is the Freeport?

A freeport is an area at the borders of the UK where different regulations apply regarding things like tax and customs, as well as employer National Insurance contributions rate relief, stamp duty land tax relief, capital allowances, VAT and tariff benefits and simplified import procedures.

The Plymouth and South Devon Freeport say it is a ''dynamic' public/private partnership with Plymouth City Council, South Hams District Council and Devon County Council working alongside Babcock, Princess Yachts, Carlton Power, the Sherford Consortium and a wider range of stakeholders including the Universities of Plymouth and Exeter, Plymouth port operators, skills providers and the Heart of the South West LEP to ensure its success. '

The Freeport say their approval now allows businesses to start taking the first steps to contracting, designing and planning their place within the site.

What people have said

Levelling Up Minister Dehenna Davison said: “Today is a historic day for Plymouth, South Devon and beyond, as the Plymouth and South Devon Freeport gets up and running to drive growth and innovation locally and nationally.

“The Freeport is going to shape the fortunes of the Plymouth and South Devon economies by pumping up to £100 million worth of investment across the region.

“We are maximising the opportunities of Brexit to drive growth and throw our doors open to the world.”

Leader of Plymouth City Council, Richard Bingley said: “The Freeport will deliver 3,500 well paid jobs and provide a free trade hub which will include advanced manufacturing and IT for Plymouth and South Devon. It’s putting this area on the map for foreign investment and attracting businesses to relocate here. This is a huge deal for this city and the wider region and I’m really excited about the opportunities it will create for our residents and our businesses.”

Councillor Judy Pearce, Leader of South Hams District Council, said: “The Freeport is already having a benefit in our area, with SHDC having granted planning permission for the 10MW green hydrogen facility at Langage very recently. It is the catalyst for new jobs, clean growth and the opportunity to decarbonise our regional transport, all things that South Hams District Council strives for through its corporate strategy, Better Lives for All.”

Devon County Council Leader John Hart said: "A huge amount of work and commitment has gone into getting the Freeport off the ground over the past 18 months and the close partnership between councils has been key in getting this vital project to this point. The Freeport will enhance our county's reputation in the marine, defence and space sectors, which will help attract inward investment, generate local jobs and benefit local businesses - all of which will drive economic growth and recovery."

David Lockwood, Chief Executive, Babcock said: “Babcock welcomes the UK Government’s designation of the Plymouth and South Devon Freeport. As a major employer in the region, we have actively supported this business case, which firmly aligns with our long term commitment to the area.”

“The Freeport will bring significant opportunities and potential employment to the South West of the UK, and we are delighted to be part of this through our dedicated support to the Royal Navy, continued investment in our facilities and delivering wider economic benefits through our supply chain.”

You can find out more about the Freeport here.

You can learn more about Freeports here.

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