Plymouth named as "investment Zone" candidate

City to benefit from tax cuts and more

Plymouth is one of dozens of UK regions which could benefit from tax cuts and relaxed planning rules.

The city is one of 38 areas being considered to be a new, government-backed “investment zone.” 

Chancellor Kwasi Kwarteng announced the initiative in his “mini-budget” on Friday 23 September. 

The zones will be given support to become growth hubs, encouraging investment in new shopping centres, restaurants, apartments and offices, as well as creating thriving new communities, the government claims.

Richard Bingley, Plymouth City Council leader and Conservative councillor for Southway said: “This is a massive opportunity to increase household income, business creation and quality urban home building in our ocean city.

“Like many other cities, our city centre has suffered from dramatic shifts in shopping habits, with huge high street names disappearing forever. We have recognised for some time that the city centre needs to change, to be a place where many more people live and to enjoy leisure time there as well as eat and shop.

“But attracting the necessary investment, particularly in these challenging times, is a real barrier for the city. This announcement could catapult our ambitions to revive the city centre as well as enable much-needed housing to be built. We also know we have huge unrealised potential for high value jobs in our waterfront and ports.

“The fact that Plymouth has been selected as the first wave of investment zones is a testament to our administration’s laser-sharp focus on higher-value job creation schemes. We’ve relentlessly lobbied the government for more funding, more local freedoms, and for tax burdens across the piece to fall.

“This proposed transformation also makes concrete our pledge to residents to remove outdated obstacles and to ensure that our beautiful natural environment is matched by an ambitious, dynamic and attractive urban environment.”

Benefits of the scheme include 100 per cent business rates relief on newly occupied and expanded premises and full stamp duty land tax relief on land bought for commercial or residential development.

Investment zones also provide designated development sites which will release more land for housing and commercial development and support accelerated development. 

The need for planning applications will be minimised or will be radically streamlined. 

Secretary of state for the department for levelling up, housing and communities Simon Clarke is yet to set out the selection criteria for the investment zones.