Rishi Sunak is expected to announce more than £57m of investment in jobs and green energy in Scotland in his Budget.
The chancellor is expected to commit £27m for the Aberdeen Energy Transition Zone, which aims to transform north-east Scotland into a globally competitive hub for cleaner energies such as offshore wind and hydrogen as the industry decarbonises and diversifies.
Recent industry reports suggest that the Aberdeen region supports more than 20,000 direct jobs in the oil and gas sector.
In his Budget on Wednesday, the Chancellor is also expected to announce up to £2m to support the continued development of industry proposals for the North Sea Transition Deal and a further £5m for the Global Underwater Hub in Aberdeen, building on last year’s £1.3m commitment.
The Treasury said the North Sea Transition Deal will support jobs as the oil and gas industry decarbonises and diversifies to cleaner energies.
Sunak said: “It’s vital that as we deliver our Plan for Jobs and level-up across the whole UK we build back better in a sustainable way.
“The measures set out in tomorrow’s Budget will boost Scotland’s transformation into a green energy hub, deliver on our commitment to Net Zero, and deliver a boost that cities and industry need.”
The Treasury said that Scotland is also expected to receive an investment boost that re-energises sectors such as infrastructure, aerospace, digital and tourism through the acceleration of £25.8m in funding over the next five years for the Ayrshire, Argyll and Bute, and Falkirk Growth Deals.
It said that reprofiling these deals so they are delivered over 10 rather than 15 years will mean that the Ayrshire Growth Deal will receive an extra £3.4m per year from 2021/22 for the remaining 10 years of the deal.
The deal has a focus on regeneration, infrastructure and aerospace technology.
The Argyll and Bute Growth Deal will receive an extra £800,000 per year from 2022/23 for the remaining 10 years of the deal, while the Falkirk Growth Deal will receive an extra £1.3m per year from 2022/23 for the remaining 10 years of the deal.
STV News is now on WhatsApp
Get all the latest news from around the countryFollow STV News
Follow STV News on WhatsApp
Scan the QR code on your mobile device for all the latest news from around the country