Asked by: Lord Cameron of Lochiel (Conservative - Life peer)
Question to the Ministry of Housing, Communities and Local Government:
To ask His Majesty's Government what assessment they have made of the impact on communities that previously benefited from funding from the UK Shared Prosperity Fund, but which will no longer receive funding following the decision to end that fund and replace it with the Local Growth Fund.
Answered by Baroness Taylor of Stevenage - Baroness in Waiting (HM Household) (Whip)
At the Spending Review in 2025, the Government confirmed that we would protect funding for interventions that drive growth and strengthen communities in Scotland, Wales and Northern Ireland for the next three years, keeping it at the same overall level in cash terms as under the UK Shared Prosperity Fund (UKSPF) in the current year.
As part of this approach MHCLG is working with the Scotland Office to design a new £140m Local Growth Fund for Scotland, delivering a significant step change in UK investment strategy, supporting each nation and region to deliver long-term infrastructure for sustained economic growth.
The Local Growth Fund forms part of a broader suite of interventions and was never designed to replicate UKSPF on a like‑for‑like basis. It sits alongside other investments such as the Growth Mission Fund, the Pride in Place Impact Fund and the Pride in Place Programme which is helping build strong, resilient and integrated communities in areas that experience the most entrenched social and economic challenges.
In addition to this package of funding announced at the Spending Review, Scotland will also benefit from around £700m of other local and regional project funding over the next three years through: the Local Innovation Partnerships Fund, Pride in Place Programme Phase 1, Green Freeports, Investment Zones, Community Regeneration Partnerships, the Local Regeneration Fund and City Region and Growth Deals.
Alongside this, the UK Government has provided the Scottish Government with the largest Block Grant in the history of devolution which can be used flexibly for devolved governments’ priorities.
Asked by: Alex Easton (Independent - North Down)
Question to the Northern Ireland Office:
To ask the Secretary of State for Northern Ireland, what consideration he has given to ring-fencing any element of the Local Growth Fund allocation for Northern Ireland for community and voluntary sector services.
Answered by Hilary Benn - Secretary of State for Northern Ireland
The Northern Ireland Office; Ministry of Housing, Communities and Local Government, and the Northern Ireland Executive have worked to provide community and voluntary sector organisations with the certainty they need to plan for this year.
The RDEL element of the Local Growth Fund in 2026/27 will be split between economic inactivity provision delivery partners and Go Succeed, in the same proportion to funding received in 2025/26 under the UK Shared Prosperity Fund. This was agreed between the UK Government and the Northern Ireland Executive.
The record £19.3bn settlement for the Spending Review period - as well as the £370m announced at the Budget - provides the Northern Ireland Executive with the means to provide additional funding to support the voluntary and community sector, should they wish to do so.
Asked by: Sorcha Eastwood (Alliance - Lagan Valley)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, what assessment his Department has made of the potential impact of the transition from the UK Shared Prosperity Fund to the Local Growth Fund on community and voluntary sector organisations in Northern Ireland, including the number of organisations that have closed, reduced services, or issued redundancy notices since the transition process began.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
The Ministry of Housing, Communities & Local Government is working in close partnership with the Northern Ireland Office and the Northern Ireland Executive designing an Investment Plan for delivery of the new Local Growth Fund. The Local Growth Fund represents a significant step change in UK investment strategy, supporting each nation and region to deliver long-term infrastructure for sustained economic growth.
The devolved governments, including the Northern Ireland Executive have also received substantial budget increases through the Barnett formula as a result of greater funding for English local authorities. This provides the devolved governments with additional flexibility enabling them to target resource to their priorities.
We appreciate the urgency of providing certainty about Local Growth Fund delivery and acknowledge the pressures facing the voluntary and community sector. The Ministry of Housing, Communities & Local Government has therefore agreed with the Northern Ireland Office and the Northern Ireland Executive to commission economic inactivity delivery for 2026-27, and engagement with project deliverers is already underway. In addition, MHCLG are also providing additional flexibility to projects to use any UK Shared Prosperity Fund budget that remains unspent at the end of March 2026, for activities up to September 2026.
The Northern Ireland Office and the Northern Ireland Executive are also planning engagement from early 2026 to collaborate with the sector to design economic inactivity support from 2027 onwards.
Asked by: Sorcha Eastwood (Alliance - Lagan Valley)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, what engagement his Department has undertaken to date with community and voluntary sector organisations in Northern Ireland on the design and delivery of the Local Growth Fund, and whether he will publish a timetable and list of stakeholders engaged prior to the commencement of the Fund in April 2026.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
The Ministry of Housing, Communities & Local Government is working in close partnership with the Northern Ireland Office and the Northern Ireland Executive designing an Investment Plan for delivery of the new Local Growth Fund. The Local Growth Fund represents a significant step change in UK investment strategy, supporting each nation and region to deliver long-term infrastructure for sustained economic growth.
The devolved governments, including the Northern Ireland Executive have also received substantial budget increases through the Barnett formula as a result of greater funding for English local authorities. This provides the devolved governments with additional flexibility enabling them to target resource to their priorities.
We appreciate the urgency of providing certainty about Local Growth Fund delivery and acknowledge the pressures facing the voluntary and community sector. The Ministry of Housing, Communities & Local Government has therefore agreed with the Northern Ireland Office and the Northern Ireland Executive to commission economic inactivity delivery for 2026-27, and engagement with project deliverers is already underway. In addition, MHCLG are also providing additional flexibility to projects to use any UK Shared Prosperity Fund budget that remains unspent at the end of March 2026, for activities up to September 2026.
The Northern Ireland Office and the Northern Ireland Executive are also planning engagement from early 2026 to collaborate with the sector to design economic inactivity support from 2027 onwards.
Asked by: Sorcha Eastwood (Alliance - Lagan Valley)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, whether his Department will conduct an impact assessment of the transition from the UK Shared Prosperity Fund to the Local Growth Fund in Northern Ireland, including on the loss of community and voluntary sector services in areas of deprivation.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
The Ministry of Housing, Communities & Local Government is working in close partnership with the Northern Ireland Office and the Northern Ireland Executive designing an Investment Plan for delivery of the new Local Growth Fund. The Local Growth Fund represents a significant step change in UK investment strategy, supporting each nation and region to deliver long-term infrastructure for sustained economic growth.
The devolved governments, including the Northern Ireland Executive have also received substantial budget increases through the Barnett formula as a result of greater funding for English local authorities. This provides the devolved governments with additional flexibility enabling them to target resource to their priorities.
We appreciate the urgency of providing certainty about Local Growth Fund delivery and acknowledge the pressures facing the voluntary and community sector. The Ministry of Housing, Communities & Local Government has therefore agreed with the Northern Ireland Office and the Northern Ireland Executive to commission economic inactivity delivery for 2026-27, and engagement with project deliverers is already underway. In addition, MHCLG are also providing additional flexibility to projects to use any UK Shared Prosperity Fund budget that remains unspent at the end of March 2026, for activities up to September 2026.
The Northern Ireland Office and the Northern Ireland Executive are also planning engagement from early 2026 to collaborate with the sector to design economic inactivity support from 2027 onwards.
Asked by: Sorcha Eastwood (Alliance - Lagan Valley)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, what steps his Department is taking to help address changes to the level of funding for community and voluntary sector organisations in Northern Ireland during the transition from the UK Shared Prosperity Fund to the Local Growth Fund.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
The Ministry of Housing, Communities & Local Government is working in close partnership with the Northern Ireland Office and the Northern Ireland Executive designing an Investment Plan for delivery of the new Local Growth Fund. The Local Growth Fund represents a significant step change in UK investment strategy, supporting each nation and region to deliver long-term infrastructure for sustained economic growth.
The devolved governments, including the Northern Ireland Executive have also received substantial budget increases through the Barnett formula as a result of greater funding for English local authorities. This provides the devolved governments with additional flexibility enabling them to target resource to their priorities.
We appreciate the urgency of providing certainty about Local Growth Fund delivery and acknowledge the pressures facing the voluntary and community sector. The Ministry of Housing, Communities & Local Government has therefore agreed with the Northern Ireland Office and the Northern Ireland Executive to commission economic inactivity delivery for 2026-27, and engagement with project deliverers is already underway. In addition, MHCLG are also providing additional flexibility to projects to use any UK Shared Prosperity Fund budget that remains unspent at the end of March 2026, for activities up to September 2026.
The Northern Ireland Office and the Northern Ireland Executive are also planning engagement from early 2026 to collaborate with the sector to design economic inactivity support from 2027 onwards.
Asked by: Sorcha Eastwood (Alliance - Lagan Valley)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, if he will outline how community and voluntary sector organisations in Northern Ireland will be formally involved in the design of the Local Growth Fund delivery model.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
The Ministry of Housing, Communities & Local Government is working in close partnership with the Northern Ireland Office and the Northern Ireland Executive designing an Investment Plan for delivery of the new Local Growth Fund. The Local Growth Fund represents a significant step change in UK investment strategy, supporting each nation and region to deliver long-term infrastructure for sustained economic growth.
The devolved governments, including the Northern Ireland Executive have also received substantial budget increases through the Barnett formula as a result of greater funding for English local authorities. This provides the devolved governments with additional flexibility enabling them to target resource to their priorities.
We appreciate the urgency of providing certainty about Local Growth Fund delivery and acknowledge the pressures facing the voluntary and community sector. The Ministry of Housing, Communities & Local Government has therefore agreed with the Northern Ireland Office and the Northern Ireland Executive to commission economic inactivity delivery for 2026-27, and engagement with project deliverers is already underway. In addition, MHCLG are also providing additional flexibility to projects to use any UK Shared Prosperity Fund budget that remains unspent at the end of March 2026, for activities up to September 2026.
The Northern Ireland Office and the Northern Ireland Executive are also planning engagement from early 2026 to collaborate with the sector to design economic inactivity support from 2027 onwards.
Asked by: Llinos Medi (Plaid Cymru - Ynys Môn)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, what is the financial breakdown for the Local Growth Fund, including capital and revenue split, for (a) Wales (b) Scotland (c) Northern Ireland and (d) England.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
The UK Government is working with partners across the nations to develop and implement a new Local Growth Fund, which is part of a wider targeted, long-term approach to regional growth across the UK. Under this approach, funding for Scotland, Wales and Northern Ireland will remain at the same overall level in cash terms as under the UK Shared Prosperity Fund in 2025-26.
In Scotland, Wales and Northern Ireland, we will confirm funding and delivery arrangements for the Local Growth Fund in due course. In England, the financial breakdown, including capital and revenue split, was published on 26 November: Local Growth Fund: Place selection and allocation methodology note - GOV.UK.
Asked by: Colum Eastwood (Social Democratic & Labour Party - Foyle)
Question to the Ministry of Housing, Communities and Local Government:
To ask the Secretary of State for Housing, Communities and Local Government, what progress has been made on delivering the Local Growth Fund in Northern Ireland.
Answered by Miatta Fahnbulleh - Parliamentary Under-Secretary (Housing, Communities and Local Government)
As announced at the Spending Review, from 2026-27 the UK government will provide targeted, long-term local growth funding to support growth across the UK, once the UK Shared Prosperity Fund ends in March 2026.
In Northern Ireland, we are working closely with the Northern Ireland Office to develop and implement the new Local Growth Fund, in collaboration with the Northern Ireland Executive. The government is committed to engagement with key stakeholders in Northern Ireland to help implement a package of funding that meets local needs and delivers impact. More information on the development of the Local Growth Fund in Northern Ireland and engagement plans will be set out soon.
Asked by: Claire Hanna (Social Democratic & Labour Party - Belfast South and Mid Down)
Question to the Northern Ireland Office:
To ask the Secretary of State for Northern Ireland, pursuant to the Answer of 22 September 2025 to Question 76346 on Local Growth Deals: Northern Ireland, whether his Department plans to hold discussions with the (a) voluntary and (b) community sector in Northern Ireland on the design of the local growth fund in Northern Ireland.
Answered by Hilary Benn - Secretary of State for Northern Ireland
As announced at the Spending Review, from 2026-27 the UK Government will provide targeted, long-term local growth funding to support growth across Northern Ireland, once the UK Shared Prosperity Fund ends in March 2026.
The Northern Ireland Office is working in close partnership with the Northern Ireland Executive and Ministry of Housing Communities and Local Government to implement and develop the new Local Growth Fund. The Government is committed to engagement with key stakeholders in Northern Ireland to help implement a package of funding that meets local needs and delivers impact. More information on the development of the Local Growth Fund in Northern Ireland and engagement plans will be set out soon.