UK Budget: Unfunded Levelling Up projects may be cancelled

Labour chancellor Rachel Reeves said that they were "minded to cancel" some of the projects that were promised Levelling Up money by the previous Tory regime at Westminster.

Fife Council was told in March that Dunfermline was getting £5m - it was later decided to spend it on St Margaret's House, Tower House, Fire Station Creative and Dunfermline Learning Campus - but that's now in doubt.

The budget statement said: "To ensure investment is focused on the growth mission, the government is minded to cancel unfunded Levelling Up culture and capital projects ... that were announced at Spring Budget 2024, but will consult with potential funding recipients before making a final decision."

Lib Dem councillor James Calder, convener of the City of Dunfermline area committee, said: "From my perspective, I have significant concerns.

"While it's not a complete confirmation that we're not getting the money, it doesn't look good.

"We've been promised funding that support cultural projects, particularly those for young people, and I'm worried they're going to take it away.

Cllr James Calder, left, has significant concerns that Dunfermline won't get the £5m it was promised. Graeme Downie MP said a final decision is still to be made. (Image: Fife Council) READ MORE: Update on the £6m plans for a new Home Bargains store in Dunfermline

"They haven't made the final decision but I would urge the UK Government to honour its pledges."

He went on: "In the meantime I know Fife Council will continue to engage with government as it's very important to us.

"We're a new city with some great projects on the go and it would be extremely unfair if they were to remove that funding and pull the rug away from our young people.

"To see that line in the budget is very concerning."

Labour MP for Dunfermline and Dollar, Graeme Downie, told the Press: "On the cultural funding for Dunfermline, we need to be clear that it has not been cancelled, it is being reviewed.

"I want to work with Fife Council and other stakeholders to make sure that we get proper funding for Dunfermline that is focused on the long term."

In March the then Tory chancellor Jeremy Hunt made the surprise announcement the city was getting £5m they hadn't applied for from the UK Government's Levelling Up fund.

Local councillors agreed to spend it on "new cultural spaces" at St Margaret's House and Tower House; restoring the B-listed Fire Station Creative building; and creating a new amphitheatre at Dunfermline Learning Campus for outdoor performances by schools and the college.

Labour won the general election in July and in September Dunfermline's SNP MSP Shirley-Anne Somerville sounded a warning that the money promised was under threat.

Scottish Secretary Ian Murray admitted that already announced projects "may or may not happen" and funding decisions were under review.

At the time Mr Downie had pointed the finger at the previous Tory government, stating that the Spring budget commitment had no actual funding attached to it and added: "It literally wasn't worth the paper the press release was written on."

However, this week Cllr Calder said: "Politics is about choices and if they remove the funding that will be a choice made by the current UK Government.

"We need to know soon. We've been doing preparatory work to get the ball rolling so if we're not going to get the funding we need to know.

"And if we're not getting it I would be asking our local MP to look for alternative sources of funding, as it will be his government that's made this choice."