First Minister announces £45m investment to spark new innovation

The Scottish Government's investing £45million into businesses in a bid to encourage more research and development work.

First Minister Nicola Sturgeon made the announcement during a visit to Prestwick on Thursday.

The funding will be introduced over a three-year period, as she made a major speech on Scotland's economy.

Ms Sturgeon set out key areas where the government is planning action - including proposals to make Scotland an early adopter of electric and other low emission vehicles.

The First Minister said: "We need to not only embrace technological innovations, we must also ensure that economic growth is inclusive so that everyone benefits and had a fair chance to contribute.''

Economic growth in Scotland has often lagged behind the levels experienced across the UK.

To help address this Ms Sturgeon pledged additional help for the manufacturing, energy and financial technology sectors.

The Scottish Government is also proposing further support for graduate engineers and help for companies to access finance.

The plans were announced in a speech at Spirit AeroSystems in Prestwick - with Ms Sturgeon also confirming the Ayrshire- based firm has won a contract to manufacture carbon wing components for the Airbus A320 aircraft.

It's expected to bring around 100 new jobs to the area.

The firm had previously benefited from £2.1 million funding from Scottish Enterprise towards research and development projects.

Ms Sturgeon said: "I am determined that Scotland leads on the key technological and social changes.

"I want Scotland to be the inventor and producer of the innovations that shape the future - not just a consumer of them.''

The SNP leader made the speech just days before she unveils her legislative programme for the coming year when MSPs return to Holyrood on Tuesday.

Ms Sturgeon said: "R&D drives innovation, which in turn boosts productivity and economic growth. That is why R&D support from our enterprise agencies will increase almost 70% - from £22 million to #37 million per year.

"We expect this additional £45 million over three years will unlock a further #270 million R&D expenditure by companies.'