SENIOR political figures last night raised hopes that Inverness is poised to secure a lucrative package of UK and Scottish government support worth hundreds of millions of pounds.
Ministers at Westminster and Holyrood suggested a landmark City Deal could be signed-off for the Highland capital imminently.
The positive comments were made 24 hours after Aberdeen received the strongest hint yet that its deal was about to happen.
In the north, Highland Council is bidding for a £300million agreement which civic chiefs hope would help pay for a proposed new regional sports centre, visitor attractions at Inverness Castle and cultural development, with a museum, library and gallery.
The Press and Journal reported yesterday that the financial details of a similar deal for Aberdeen were expected to be announced next week.
The news triggered questions about the Inverness City Deal, which was first announced at the same time as Aberdeen’s, in Chancellor George Osborne’s Budget speech last year.
Last night, Scottish Secretary David Mundell signalled that further details about the agreement for the Highland capital would also be announced shortly.
Quizzed about the plan, the Conservative minister said: “It’s going well and we will be saying more about it soon.”
SNP Business Minister Fergus Ewing – who is MSP for Inverness and Nairn – also suggested that progress was being made.
He said: “We are working hard with the council and I’m optimistic about it.”
Speaking on a tour of an Inverness business yesterday, Mr Ewing added: “I’m in favour of a City Deal. I’m aware the council is working hard on it and I hope it will further things like our road links.
“I also want to see Inverness Castle included in the deal. It’s early days in that project, but upgrading it would bring in more visitors.”
Inverness MP Drew Hendry, who progressed the scheme while leader of the local authority, said it just required the “final ticking of the box”.
He said: “As far as I’m aware it’s progressing well. I have been chasing the UK Government and Scottish secretary to get a confirmation.
“I know the plan that has been put forward by Highland Council is a good one and I think it should be moved forward at the earliest opportunity.
“The Scottish Government and Highland Council are ready, we are just waiting on the final ticking of the box from the UK Government.
“From what I have been told, that should be coming soon.”
City Deals aim to give new powers and freedoms to the UK’s cities, and were first launched by then-deputy prime Minister Nick Clegg in December 2011.
Each package is different, depending on the local needs, but some include the ability to “earn back” tax revenue collected in the area, devolution to local authorities of the local rail franchise, and specific commitments such as increasing the number of apprenticeships.
The first agreements were confirmed the following year for the eight biggest English cities outside London – Bristol, Birmingham, Manchester, Leeds, Liverpool, Newcastle, Nottingham, and Sheffield – two be followed by 20 smaller cities in 2013.
The first City Deal in Scotland was agreed for Glasgow in 2014, and involved £500million from the UK Government and £500million from the Scottish Government, as well as £130million from local authorities.
First Minister Nicola Sturgeon wrote to Prime Minister David Cameron urging him to “accelerate” the finalisation of Aberdeen’s deal, saying it was vital the government sent a “strong and unequivocal signal” of support for the region.
She also confirmed the Scottish Government would fund it on a 50-50 basis, as happened with Glasgow and the Clyde Valley.
The first minister’s move prompted Mr Mundell to announce that the full details of the Aberdeen City Deal would be confirmed “shortly”.