Derry City Deal nearing end of business case and should be signed by summer, says Finance Minister

Dr. Archibald said: “The deal's signing will, obviously, mark the stage at which the funding can be released.”

DUP MLA Gary Middleton pressed the minister on the City Deal projects in the Stormont Assembly on Tuesday.

"One of the frustrations that the council [Derry City and Strabane District Council] has highlighted with me is the speed with which the business cases have been approved.

“There is frustration that heads of terms could not be signed at an earlier opportunity to draw down funding and allow the projects to make the necessary progress. Will the Minister commit to working with the Economy Minister to bring the city deal projects further forward?” asked the Foyle MLA.

Dr. Archibald said: “As the Member will know, city and growth deals are long-term capital investment programmes. The process requires detailed business case development and approval for each constituent project to ensure the proper use of funds.

“My officials and those in other Departments have been regularly engaging with deal partners, and they continue to work through the relevant approvals process for the numerous business cases involved in the deal.”

The minister acknowledged concerns around the bureaucracy of the process.

"I have discussed that with my officials, and they have assured me that they are working at pace to progress business cases. I am certainly up for the conversation with the Economy Minister to ensure that the city and growth deals for Derry and Strabane and the other council areas can all proceed as quickly as possible,” she said.

Sinn Féin MLA Pádraig Delargy asked the minister for an update on proposals to develop a new permanent School of Medicine and Personalised Medicine Centre next to the Council offices on the Strand Road.

She replied: “I understand that work is under way by the Economy and Health Departments, in conjunction with Ulster University, to develop the business case for phase 2, which will see the expansion of the medical school.

"I know that the Member is supportive of that and has been working on it. I am sure that he will also engage with those Ministers on the expansion of the medical school.”

Inflation and challenging budgetary envelope impacting City Deal capital projects

SDLP MLA Sinéad McLaughlin asked the minister if she would ‘commit to allocating all of the required funding to ensure that the city deal project can be pursued in full, rather than being scaled down because of inflationary pressures and the delay in bringing forward the cases’.

Dr. Archibald said: “The Member will be aware that £210 million has been allocated from government: £100 million of city deal funding and £110 million from the inclusive future fund, which will be equally funded by the Executive and the British Government. Derry City and Strabane District Council and project delivery partners are expected to contribute an additional £52 million investment.

"That speaks to the point that I discussed with Mr Middleton: the business case process has to proceed as quickly as possible. That is something on which I am keen to work with Executive colleagues.”

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