The Chancellor, Philip Hammond MP is expected to announce the UK Government will be contributing £260m to the Borderlands Growth Deal.
The Borderlands Growth deal is the first deal to involve partners either side of the border and includes Scottish Borders Council, Dumfries & Galloway Council, Carlisle City Council, Northumberland County Council and Cumbria County Council.
This investment is in addition to £100m of funding from the Housing Infrastructure Fund, set to be spent in the Borderlands region.
The Scottish Government said that it would provide up to £85m for Borderlands over the next ten years, although no money was set aside in the SNP’s budget last month.
Welcoming the announcement, local MP John Lamont has said Borderlands needs to include a full feasibility study into extending the Borders Railway on to Hawick, Newcastleton and Carlisle, as well as significant investment in improving broadband.
Rachael Hamilton MSP said: “I welcome the commitment from the UK Government of £260m for the Borderlands Growth Deal, and it just shows what can be achieved when both of Scotland’s governments work together.
“The integral economic and social links between Northumberland and the Borders are vitally important, and this deal solidify these further.
“This is another Scottish Conservative manifesto commitment delivered, and this deal has the ability to bring transformational change to the Scottish Borders, a region that has its own unique challenges but massive potential.
“14 million people live within 2 hours drive of the Borderlands region, and in order to tap into this, we need better cross-border connectivity and collaboration. I support a feasibility study into the extension of the Borders Railway to Carlisle that could enhance transport links between the north of England and the Borders.
“Attracting new businesses and people into the Borders is integral to the success and sustainability of our economy, and the package of proposed projects within the elementary stages of the Borderlands deal will aim to deliver just that.
“I am looking forward to the deal progressing further and for lasting and positive changes to come about as projects come to fruition”.