Chancellor Rachel Reeves has delivered a massive boost to Argyll & Bute, as part of her package of budget announcements for Scotland.

The new chancellor signed off on the delivery of £50 million in a Rural Growth Deal for the area, with funding delivered by both the UK and Scottish Governments..

The area’s MSP, Jackie Baillie, who worked alongside Scottish Secretary Ian Murray MP to secure the cash, said: “I am absolutely delighted that we have managed to deliver this funding for Argyll & Bute.

“It is vital that an area like this is able to compete and secure economic growth.

“The UK Government has pledged commitment to the base at Faslane and it is vital that Argyll & Bute is able to provide space for associated businesses to grow.

“The economy will also be impacted by the loss of jobs at Finnart, as a result of the winding down of Grangemouth and this funding will help communities prosper.”

Areas including the Borders, Ayrshire and Falkirk were handed Rural Growth Deal cash under a UK and Scottish Government deal for economic investment.

But a planned funding injection for Argyll & Bute never materialised under the previous Conservative government at Westminster, leaving Argyll & Bute as the only area in Scotland without a Growth Deal.

The new UK Government was forced to put spending plans on hold as it assessed the perilous state of public finances inherited from the last government, ahead of the budget today.

Now the new funding will help kick start investment in long-term economic growth, jobs and housing.

The UK Government will plough in £25 million to support the Rural Growth Deal, with the other half contributed by the Scottish Government.

Argyll & Bute Council was the first local authority to declare a housing emergency in June 2023, as a result of demands on affordable public sector homes.

It will also see the loss of 25 jobs next summer, as the Finnart Pipeline – which connects to the Grangemouth oil refinery – is axed as a knock-on effect of owner Petroineos’ decision to mothball refining operations in the east of Scotland.

But Argyll and Bute also boasts key industries which support the wider Scottish economy,  including tourism,  food and drink and marine science, which could benefit.

Councillor for Helensburgh Central, Fiona Howard, also welcomed the investment, saying: “I am thrilled by the news of this funding.

“It’s very helpful that Jackie Baillie has worked hard to get this over the line on behalf of the people of Argyll & Bute.

“I am delighted that the new UK Government has been able to deliver on this commitment for economic growth.”