Question to the HM Treasury:

To ask the Chancellor of the Exchequer, how much funding has been allocated to establishing free ports in the UK; and how much of that funding will be allocated to (a) Wales, (b) England, (c) Scotland and (d) Northern Ireland.

We want to ensure that the whole of the UK can benefit from Freeports and we remain in ongoing discussions with the Welsh government to establish a Freeport in Wales as soon as possible.

Successful bidders in England will be able to access a share of £175m. This is capital spending to support the development of Freeport sites and should be matched by a mix of private sector investment, council borrowing and co-funding. The expectation is that all Freeports who have their business case accepted will get similar shares of the available £175 million fund. The amount accessed will depend on the submission of an outline business case (OBC).

It is for the Welsh Government to decide how much seed funding to provide to a Freeport in Wales. Through the application of the Barnett formula at the 2020 Spending Review, the Welsh Government is receiving around £123 per head in 2021-22 for every £100 per head spent by the UK Government on devolved matters in England. It is similarly for the Scottish Government and Northern Ireland Executive to determine how much seed funding to allocate to Freeports in Scotland and Northern Ireland respectively.

There are also a variety of benefits from Freeports, including on tax, customs, planning and innovation, and the seed funding is only one part of the offer available to ports and businesses.