Five new skills training centres across South East Scotland are to be created with £25m of UK Government funding, it was announced today (3 September 2026).
The investment is part of an overall award of £37.8m for Edinburgh and South East Scotland City Region from the UK Government’s Local Growth Fund and will support future housing delivery, retrofit and green economy jobs in the region. Additionally, the funds will drive regional , while financing and research into the impact of AI.
The UK Government has now released £14.09m to Edinburgh and South East Scotland Regional Partnership after signing off on its locally designed three-year Local Growth Fund investment plan, which targets areas with the lowest household incomes to create jobs and boost living standards. Funding for Years 2 and 3 will be rolled out as the region progresses through its plans.
A partnership between the four regional colleges of Borders, Edinburgh, Fife, and West Lothian plans to train over 20,000 new entrants across the region over the coming decade as well as upskill existing workers.
South East Scotland is the fastest growing region in Scotland, with some of the highest housing demand for now and into the future. The new training hubs will be strategically important in the delivery of 40,000 new homes across the region’s seven strategic housing sites.
The training centre in the south of Scotland will also benefit from Scottish Government funding through the Borderlands Inclusive Growth Deal.
Pete Smith, Principal of Borders College, said
“Increased capacity in the delivery of skills in sustainable construction, retrofit, maintenance and heating is absolutely essential if we are to meet the needs of the Scottish Borders in the coming years and decades.
“I am delighted that this initiative will enable Borders College to reach more learners, and to develop and deliver new programmes to add to our already rich portfolio, designed to meet the needs of our Region and our industry partners.”
Leader of Scottish Borders Council, Councillor Euan Jardine, said:
“This investment is an important opportunity for the South of Scotland and will help ensure we have the skills needed to support future housing delivery, retrofit and growth in the green economy.
“It will create valuable opportunities for our young people and existing workforce to gain new skills and qualifications, while helping local businesses meet the demands of a changing economy.
“I look forward to seeing the training hub develop and the benefits it will bring to communities and employers across the Scottish Borders.”
According to a report undertaken by the University of Edinburgh and West Lothian College, the region has a construction workforce of 57,000, of which 21,000 (34%) commute for work into the region from other parts of Scotland daily. The study identified that the region requires an additional
Scottish Secretary Douglas Alexander said:
“Today the UK Government is releasing more than £14 million to Edinburgh and South East Scotland partners who know their communities best.
“These funds will be crucial for addressing skills shortages, driving green innovation and removing barriers to local employment and infrastructure development.
“The UK Government is committed to empowering local communities by spreading power throughout the country. These funds will support local leaders throughout Scotland to create skilled jobs, help start up businesses and revive our local high streets.”
20,000 new entrants, upskilling roles and replacement construction workforce over the next 10 years.