South Yorkshire named as first UK Investment Zone

South Yorkshire would see a "significant boost" after being named the UK's first Investment Zone focused on Advanced Manufacturing, officials said

South Yorkshire could see 8,000 new jobs and an estimated £1.2bn of funding, after being named as the UK's first Investment Zone, it is claimed.

In March Chancellor Jeremy Hunt said 12 new UK Investment Zones, would each receive £80m of government cash.

The money could be spent on infrastructure, training and tax relief over seven years.

Announcing the first zone in Sheffield on Thursday Mr Hunt said it already had a further £80m of private investment.

At the AMRC research institute Mr Hunt claimed the first Advanced Manufacturing Investment Zone would bring opportunity into areas "which had traditionally underperformed economically".

He said Boeing, Spirit AeroSystems, Loop Technology and the University of Sheffield's AMRC institute had partnered to support the first investment worth over £80m.

Investment Zones were launched under Liz Truss's government last September with an initial announcement of hundreds of zones, which would typically be clustered around universities.

The UK Treasury reduced the plan to 12 zones after Jeremy Hunt became chancellor, eight of them already allocated to English mayoral regions in the north and Midlands.

Boeing, Spirit AeroSystems, Loop Technology and the University of Sheffield have partnered to support the first investment worth over £80m

A spokesperson for HM Treasury said the Investment Zone would mean people from Sheffield, Rotherham, Doncaster and Barnsley would see fewer challenges in attracting finance and investment and more opportunities for new jobs and increased productivity.

The spokesperson said the project, co-funded by industry and government, with support from the South Yorkshire Mayoral Combined Authority and the University of Sheffield, would see the UK "at the cutting edge of aviation research, development and manufacturing".

Mr Hunt said: "Our first Investment Zone is a shining example of how we will drive growth across the country.

"It's already secured more than £80m of private investment, including backing from Boeing, and will help support more than 8,000 jobs by 2030."

Secretary of State for Levelling Up, Housing and Communities, Michael Gove, said the announcement was "a significant moment for South Yorkshire".

"This will help level up the region, creating jobs and boosting economic growth," he said.

Business and Trade Secretary Kemi Badenoch said Boeing and its partners' investment in the new zone was a "major vote of confidence in our world-leading aerospace sector".