Tontine Building to create 536 jobs

Tontine Building to create 536 jobs

Plans to turn Glasgow’s Tontine Building into a high-tech space for up to 300 entrepreneurs could create 536 jobs over the next five years.

That is the view of Glasgow City Council, which is playing a key role in the £1.13bn Glasgow and Clyde Valley City Deal signed in 2014 which is helping fund the project.

The Tontine Building expects to house 134 businesses over the next five years, with each firm increasing their staff numbers by at least four per business during the period.

If the business incubator achieves its expected output, it will result in the creation of 536 new jobs and in an increased turnover of £53.6m over the term of the programme.

The building beside Glasgow Cross will host high-quality and flexible workspaces for companies operating in the technology, design, manufacturing and creative industries.

Frank McAveety, leader of Glasgow City Council and chairman of the Glasgow and Clyde Valley City Deal cabinet, said: "The space has been designed to reflect the needs and attitudes of young businesses, drawing on the designs of Google's offices.

"It offers high level of IT infrastructure that will allow entrepreneurs to rent a space, plug in and go."

"We believe these sectors have strong growth potential," added Mr McAveety. "We want to develop strong working relationships with all of the city's higher and further education establishments.

“This includes Strathclyde University, where we anticipate a strong connection with the research work carried out in the [university's] Technology & Innovation Centre."

The City Deal will also see the creation of the University of Glasgow’s Imaging Centre of Excellence (ICE), based at the Queen Elizabeth University Hospital campus and Medicity Scotland in Newhouse, North Lanarkshire.   

McAveety added: “These world-class innovation centres will make the Glasgow City Region a leader in these fields, and show that the City Deal will deliver more than just massive infrastructure schemes as it helps to transforms the area’s economy over the next 20 years.

“The investment we are making in these exciting innovation projects will create new jobs and expertise in the key sectors that will deliver sustainable future economic growth.”

Both the UK and Scottish Governments will give the Glasgow City Region local authorities £500m in grant funding for the City Deal, and the eight local authorities will borrow a further £130m to use for capital investment.

The deal is expected to give the Glasgow City Region a permanent uplift in its GVA of £2.2bn per annum (4.4%); generate 15,000 construction jobs during the construction period and 28,000 permanent additional jobs once construction is complete; and will unlock £3.3bn of private sector investment.

The Tontine Building is expected to be formally opened this May.