Two new Green Freeports to come to Scotland by Spring 2023

The UK and Scottish Governments have agreed to build two new Green Freeports in Scotland to support the regeneration of local communities and support levelling-up agenda.

The agreement is part of the UK government's levelling-up agenda, which aims to spread opportunity more equally across the United Kingdom.

The project also highlights green efforts, with prospective bidders required to pledge to reach Net Zero by 2045 and deliver net-zero benefits. The bidding process will open this Spring and close in Summer, with the new sites expected to be operational by Spring 2023.

Freeports are areas in which the country's normal tax and tariff do not apply. This means that raw materials can be imported, manufactured into a finished product and exported again without being subjected to import taxes, additional paperwork or checks.

Officials from the UK as well as Scotland will jointly assess prospective bids, and ministers will have an equal say on the final selection of the locations. A Freeport in Wales is also being discussed, between the Welsh and UK Governments, with more details to be announced in the near future.

Prime Minister Boris Johnson said: "Freeports will help to accelerate our plan to level up communities across the whole of the United Kingdom. They have the power to be truly transformational by creating jobs and investment opportunities to enable people to reach their potential, and I am delighted that people across Scotland will reap the benefits that will come from having 2 new Green Freeports."

Secretary of State Michael Gove said: "This is a truly exciting moment for Scotland, and I am delighted we will be working together with the Scottish government to set up 2 new Green Freeports. Green Freeports help inject billions into the local economy, while levelling-up by creating jobs for local people, and opportunities for people all over the UK to flourish.

"By collaborating using opportunities like Green Freeports we can work to level-up the whole of the UK and bring benefits and opportunities to communities that need it most."

Scottish Government Cabinet Secretary for Finance and the Economy, Kate Forbes, added: "I am pleased we have been able to reach an agreement on a joint approach that recognises the distinct needs of Scotland and enshrines the Scottish Government’s commitment to achieving net-zero and embedding fair work practices through public investment.

"Scotland has a rich history of innovative manufacturers and so as we look to grasp the many opportunities of achieving net-zero, the establishment of Green Freeports will help us create new green jobs, deliver a just transition and support our economic transformation."