Regeneration projects to create 160 jobs across Scotland

(Image credit: Achinthamb, Shutterstock)

MORE than £21.5 million in Scottish Government funding is to bring 24 disused or derelict sites and buildings back into use across the country.

The projects are set to create more than 160 jobs across Scotland and support nearly 900 training opportunities.

Deputy first minister Kate Forbes confirmed the 2025-26 allocations from the regeneration capital grant fund (RCGF) and vacant and derelict land investment programme (VDLIP) during a visit to Powderhall in north Edinburgh.

The City of Edinburgh Council will receive £1.4 million for remedial works at the former waste disposal site, paving the way for a housing-led regeneration project that will provide 259 homes, including affordable housing.

Other initiatives being supported include reviving a slate quarry in Cullipool owned and operated by the Isle of Luing Community Trust; converting a former tram depot in Dundee into a new transport museum; redeveloping a former derelict school into energy efficient housing units in Borrodale on the Isle of Skye; creating film production suites and a training centre at a former glue factory in Glasgow; and extending Lochvale House community centre in Dumfries to include a café and soft play area.

The announcement coincides with a call for expressions of interest in 2026-27 funding to support regeneration projects in disadvantaged communities. As set out in the 2025 Programme for Government, future Scottish Government support for regeneration projects will be channelled through one national fund – the Regeneration Capital Grant Fund – to streamline the application and delivery process.

The deputy first minister said, “This funding will help to transform derelict sites the length and breadth of Scotland, creating homes, jobs and facilities that drive economic growth, tackle poverty and help support and growing thriving communities.

“This funding forms part of a wider £62.15 million investment by the Scottish Government towards regeneration projects in 2025-26. This will help to revitalise green spaces, town centres and derelict sites to benefit people across Scotland.

“The 2025 Programme for Government stets out our renewed commitment to supporting regeneration projects across the country with one streamlined fund delivering this vision from next year.”

The RCGF is delivered in partnership with COSLA. COSLA’s spokesperson for environment and economy, councillor Gail Macgregor, added, “Today’s announcement sees the return of invaluable tools and resources for local authorities to help deliver on the regeneration aspirations of the communities which they represent.

“The diversity of successful projects on show demonstrates how localised approaches can deliver benefits across the country and showcase the best of partnership between local authorities and our communities to deliver economic and social renewal.

“We look forward to continuing to work with Scottish Government on regeneration in the months to come.”

Regeneration Projects supported through the RCGF and VDLIP fund in 2025/2026:

Fund Organisation Project Award
RCGF Angus Council Arbroath Courthouse Community Trust £2,138,985
RCGF Argyll & Bute Council Fyne Futures Local Food Production and Training Centre £250,000
RCGF Argyll & Bute Council Isle of Luing Community Owned Slate Quarry £1,747,936
RCGF City of Edinburgh Council Spartans Youth Work and Education Building
£60,000
RCGF Clyde Gateway Baltic Street Play £850,000
RCGF Dumfries and Galloway Council Let’s Get Sporty – Lochvale House £1,572,370
RCGF Dundee City Council Dundee Museum of Transport – A Catalyst for Regeneration of Stobswell £1,001,430
RCGF Fife Council Together Cowdenbeath People’s Centre £1,000,000
RCGF Glasgow City Council SEC Possilpark £600,000
RCGF Glasgow City Council Glue Factory £398,169
RCGF Highland Council Glen Urquhart Public Hall £602,500
RCGF Inverclyde Council Bank St. Community Hub £515,000
RCGF South Lanarkshire Council Cathcart Road Net Zero Industrial Units £963,000
VDLIP City of Edinburgh Council Powderhall Housing-Led Regeneration £1,400,000
VDLIP Clyde Gateway Cuningar Loop Woodland Park Completion £500,000
VDLIP Dumfries and Galloway Council Annan Harbour Regeneration – Phase 1 £1,343,683
VDLIP Dundee City Council Placemaking Lochee £695,000
VDLIP East Dunbartonshire Council Lennoxtown Community Greenspace Project £472,952
VDLIP Glasgow City Council Milton Discovery Wood £655,200
VDLIP Glasgow City Council Tureen Street School Conversion £1,978,441
VDLIP Highland Council Borrodale School Renovation Project £450,000
VDLIP North Ayrshire Council Kyle Road Phase 2 Development £892,990
VDLIP North Lanarkshire Council Cumbernauld Village Green-Blue Space £735,770
VDLIP Renfrewshire Council Ferguslie Green Line – Belltrees £650,436