Monday February 9th 2026
COSLA's offices in Edinburgh
Written by Glasgow View Reporter, Liam Eunson
At a COSLA meeting last month, Council Leaders expressed frustration at the lack of meaningful consultation by UK Government to their development and announcement of the Local Growth Fund.
While COSLA recognise the importance of the Fund in supporting local economic development and regeneration, Council Leaders remain concerned that there has been a reduction in overall funding available to local areas compared to the previous UK Shared Prosperity Fund.
In discussion, Leaders pointed out that this change limited councils’ and partners’ ability to fund the activity required to maximise the impact of capital investment, including employability support, skills development, community regeneration and preventative economic interventions.
In particular, they highlighted the potential impact on the delivery of No One Left Behind and on Third Sector organisations, many of which rely on stable, multi-year revenue funding to sustain local services and workforce capacity.
Taken together, they indicated that the current design of the Local Growth Fund risks weakening place-based economic outcomes unless greater flexibility and balance between capital and revenue funding is secured.
As a result, COSLA’s Presidential Team will this week meet Kirsty McNeill, Parliamentary Under Secretary of State for Scotland, to make representations on the design, scale and flexibility of the Local Growth Fund, including its overall funding level, the balance between capital and revenue investment, and the implications for employability provision, Third Sector delivery and sustainable place-based economic development.
COSLA President, Cllr Shona Morrison said:
“COSLA Leaders could not have been clearer on their frustrations with the announcement on Local Growth Funding, the lack of meaningful consultation with councils and the implications it has both for areas receiving funding and those that don’t. I look forward to a positive discussion with the Minister next week where I hope we can find a means by which UK Government can work better with Scottish Local Government on the detail behind such funding announcements so that they truly deliver the improved outcomes for Scotland’s communities that we both seek.
“We will be clear that short term pots of funding will not tackle the long-term challenges our communities face. Scottish Local Government, has and does, stand ready to work with our colleagues in Westminster.”
Tweet Share on Facebook
