Northern Ireland — City & Growth Deals
Four deals covering all 11 council areas. Combined public investment from UK Government and NI Executive.
~£1.3bn
Public Investment
~£1.6bn+
Incl. Partner Contributions
4 Deals
All 11 Councils Covered
~26,300
Target Jobs Created
✓
Signed & Delivering
Belfast Region
(Dec 2021)
✓
Financial Deal Signed
Derry & Strabane
(Sep 2024)
◉
Heads of Terms
Mid South West
(Nov 2024)
◉
Heads of Terms
Causeway Coast
& Glens (Apr 2024)
→
Next: Business Cases
MSW + CCG
progressing OBCs
Key Projects
- Global Innovation Institute — cybersecurity, fintech, life sciences, agri-food
- Advanced Manufacturing Innovation Centre (AMIC) — Antrim
- International Centre for Connected Health (ICCH)
- Destination & Tourism — Gobbins, Bangor Waterfront, Hillsborough, Carrickfergus
- Digital Connectivity investment
- Belfast Rapid Transit extension
- Employability & Skills — 3 assessments complete; apprenticeship focus
- Newry Mourne & Down — regeneration and tourism projects
Key Projects (3 Pillars)
- DNA Museum — Ebrington riverside; first NI City Deal project on site (late 2024)
- Central Riverfront Regeneration — Strand Road, Walled City, civic spaces (£65m)
- Personalised Medicine Innovation Centre + School of Medicine (Ulster University)
- Data Analytics, Advanced Manufacturing & Robotics Innovation Centre
- Strabane Town Centre Regeneration — new NWRC campus, health hub, leisure centre, pedestrian bridge
- Digital Connectivity Programme — rural & urban connectivity
- Inclusive Future Fund — deprivation, skills, youth (£55m UK Gov)
Key Projects
- A4 Enniskillen Southern Bypass — £16.2m released 2024/25–25/26; additional £18.5m allocated
- A29 Cookstown Bypass — £43m; funding secured Oct 2024
- Agri-food Robotics, Automation & Packaging Innovation Centre
- Industrial Decarbonisation Programme
- Ulster American Folk Park upgrade — £18.5m additional UK Gov funding
- Digital & Innovation projects across 3 council areas
- Tourism & Regeneration — rural focus
Key Projects
- Centre for Food & Drug Discovery (CFDD) — £22m; can now proceed post Oct 2024 reinstatement
- Portrush–Bushmills Greenway — council-led; tourism & active travel
- Digital & Innovation programme
- Tourism & Regeneration — 5th most deprived council area in UK
Smallest of the four deals. UK Gov funding was paused Jul 2024 alongside MSW, reinstated Oct 2024. OBCs being prepared — least advanced of the four deals.
Understanding the City & Growth Deals — Key Charts
Four charts to help understand the scale, progress, and financial impact of the Northern Ireland City & Growth Deals programme.
All data sourced from the NI Audit Office report published 10 July 2026 and official deal documents.
How much has been spent?
Utilised vs unspent central government funding per deal (£m) — forecast to March 2026
Source: NI Audit Office, Jul 2026
% of funding utilised by March 2026
Only the Belfast Region deal has meaningful spend — newer deals are still in business case stage
Source: NI Audit Office, Jul 2026
Real-term value lost to inflation — every year of delay costs ~£37 million
Real value of the unspent £1.221bn City Deals balance (Mar 2026) under two inflation scenarios. Teal: NI Audit Office 3% assumption. Amber dashed: QS infrastructure TPI rate of 5% (Turner & Townsend / BCIS). The £207m gap by 2041 shows the cost of using a conservative rate. This is not cash lost — it is lost purchasing power.
Source: NI Audit Office erosion rate, Jul 2026 — illustrative projection
Where is each deal in its 15-year delivery window?
Each deal has a 15-year funding delivery window from its signing date. The darker shaded area shows elapsed time; the lighter area shows remaining window. The vertical line marks today (July 2026).
Source: NI Audit Office, Jul 2026 · Deal signing dates from official documents
⚠ NI Comptroller & Auditor General — Report Published 10 July 2026
The NI Auditor General (Dorinnia Carville) has reported that
£1.221 billion of the £1.334 billion central government capital investment remains unspent as of March 2026. Only
£113m (8.48%) of total central government funding was forecast to be utilised by March 2026 — with the Belfast Region City Deal accounting for
£104m (14.89%) of that, and the three newer deals collectively spending less than
£4m combined. Real-term value is eroding at approximately
£37 million for each year of delay (assuming 3% annual inflation — £3.05m per month).
"Progress remains slow, with much of the available funds remaining unutilised. Continued delays are eroding the value of this potentially transformative investment. There are already weaknesses in arrangements for capturing costs and ensuring value for money. Without decisive action to address these issues, there is a risk that potential benefits will not be maximised."
— Dorinnia Carville, NI Comptroller & Auditor General, 10 July 2026
📉
Real-term value erosion: The NI Audit Office report estimates that at 3% annual inflation, the unspent balance of ~£1.221bn (March 2026) loses approximately £37 million per year (£3.05m per month) in real purchasing power for each year of delay. The Belfast Region deal was signed December 2021 — 4½ years ago. The 15-year funding delivery window runs from each deal's signing date; this timeframe is not currently being formally managed as a strategic risk, the auditor found.
🔍
QS commentary — is the auditor's 3% rate comparable? The NI Audit Office's 3% general inflation assumption is a defensible and conservative baseline for an audit report, but independent construction cost data suggests it is a floor, not a ceiling:
- 2022–2023 (BRCD already signed): BCIS and AECOM data show NI construction tender price inflation ran at 9–12% per year — three to four times the auditor's assumption. The real-value erosion on the BRCD's unspent balance during these years was therefore far higher than £37m/year implies.
- 2024–2025: Inflation normalised to ~1.8–3% (AECOM Ireland Review 2025; RLB NI Q4 2024), broadly in line with the audit assumption.
- 2026–2028 infrastructure-specific: Turner & Townsend's UK infrastructure TPI forecast stands at 4.5–5.0% per year — significantly above 3%. For road, water, and energy infrastructure (the dominant City Deals project types), this is the more appropriate benchmark. At 5%, the annual erosion on £1.221bn rises to approximately £61m per year.
- Cumulative real erosion since BRCD signing (Dec 2021): Applying actual BCIS outturn rates (12%, 9%, 1.8%, 2.5%, 3%) suggests total real-value loss to date is likely materially above £104m — the figure shown in Table 3 uses 3% flat throughout and should be read as a minimum.
The £37m/year headline figure in the Audit Office report is therefore the most conservative credible estimate. The actual ongoing erosion rate, using infrastructure-specific BCIS TPI forecasts, is closer to £55–61 million per year. For context, the broader NI infrastructure overrun clock — BCIS inflation accruing across £13.996bn of undelivered schemes — is running at £17.39 every second. Source: BCIS; AECOM Ireland Annual Review 2025; RLB NI Q1 2026; Turner & Townsend UKMI Q1 2025.
Table 1 — Central Government Capital Investment by Deal (NI Audit Office, Jul 2026)
| Deal / Fund |
NI Executive (£m) |
UK Government (£m) |
Total (£m) |
Projects |
| Belfast Region City Deal (BRCD) |
350 |
350 |
700 |
19+ |
| Derry City & Strabane (DCSDC) |
50 |
50 |
100 |
3+ |
| ↳ Inclusive Future Fund (IFF) — DCSDC |
55 |
55 |
110 |
6 |
| Causeway Coast & Glens (CCG) |
36 |
36 |
72 |
9 |
| Mid South West (MSW) |
126 |
126 |
252 |
11 |
| ↳ NI Executive Complementary Fund (NIECF) — BRCD, CCG & MSW |
100 |
— |
100 |
5 |
| Total Central Government Capital |
£717m |
£617m |
£1,334m |
53+ |
Partner contributions (councils, universities, trusts etc.) add a further >£500m, bringing the total investment package to more than £1.8bn. Source: NI Audit Office, 10 Jul 2026.
Table 2 — Spend Progress: Utilised vs Total Central Government Funding (NI Audit Office, Jul 2026)
| Deal / Fund |
Total (£m) |
Utilised Mar 2025 (£m) |
% Mar 2025 |
Forecast Mar 2026 (£m) |
% Mar 2026 |
Progress |
BRCD Signed Dec 2021 |
700 |
56.338 |
8.05% |
104.217 |
14.89% |
|
DCSDC Signed Sep 2024 |
100 |
0.170 |
0.17% |
3.257 |
3.26% |
|
IFF (DCSDC) Inclusive Future Fund |
110 |
0.183 |
0.17% |
0.868 |
0.79% |
|
CCG HoT Apr 2024 |
72 |
0 |
0% |
0 |
0% |
|
MSW HoT Nov 2024 |
252 |
0 |
0% |
0 |
0% |
|
NIECF Complementary Fund |
100 |
1.645 |
1.65% |
4.771 |
4.77% |
|
| All Deals |
£1,334m |
£58.166m |
4.36% |
£113.113m |
8.48% |
|
All figures from NI Audit Office report, 10 Jul 2026. CCG and MSW show £0 utilised — these deals only reached Heads of Terms in Apr/Nov 2024 respectively, with OBCs still in preparation. Note: BRCD March 2026 forecast of £104.217m aligns closely with the independent figure of £75.4m paid out by end of Q3 2025/26 (Belfast City Council update, March 2026 — source), with further Q4 spend expected to bring the total to ~£104m by year end.
Table 3 — Real-Term Value Erosion by Delay (£37m/yr at 3% inflation — NI Audit Office, Jul 2026)
| Deal / Fund |
Signed / HoT |
Yrs Elapsed |
Unspent Mar 2026 (£m) |
Est. Erosion (£m) |
Effective Real Value (£m) |
| BRCD |
Dec 2021 |
4.6 |
595.783 |
~£83m |
~£513m |
| DCSDC + IFF |
Sep 2024 |
0.8 |
205.875 |
~£6m |
~£200m |
| CCG |
Apr 2024 |
1.3 |
72.000 |
~£3m |
~£69m |
| MSW |
Nov 2024 |
0.6 |
252.000 |
~£5m |
~£247m |
| NIECF |
Various |
~2.5 |
95.229 |
~£7m |
~£88m |
| Total |
|
|
£1,220.887m |
~£104m |
~£1,117m |
Erosion estimated by applying the NI Audit Office rate of £37m/year (3% inflation) pro-rata to each deal's unspent balance (March 2026) × years elapsed since signing/HoT. This is illustrative — the auditor's £37m figure applies to the total programme, not per individual deal. These are real-term purchasing-power losses, not cash losses. Unspent figures derived from NI Audit Office spend table (total £1,334m minus forecast utilised £113.113m = £1,220.887m). Source: NI Audit Office, 10 Jul 2026.
Cross-reference — BRCD independent spend data: Belfast City Council's March 2026 update records
£75.4m paid out by Q3 2025/26 (year-to-date spend of £33.7m), consistent with the NI Audit Office's full-year forecast of £104.2m once Q4 spend is included. The BRCD Annual Report 2023/24 recorded
£5.2m paid to projects to 31 March 2024. Administration and technical support costs across all deals totalled an estimated
£22m between 2018 and 2025. Sources:
Belfast City Council Mar 2026 ·
BRCD Annual Report 2023/24