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Levelling Up Fund Round 3 – Fifty five local authorities win £1bn public funding

21 November 2023

On 20th November 2023, the Department of Levelling Up, Housing and Communities announced the winners of the third round of the Levelling Up Fund allocating £1bn of public funding to 55 local authorities.  In a surprise move, a decision was made to move away from the challenge fund approach used to allocate the first £3.8bn, instead awarding the remaining £1bn of funding to the best bids submitted in Round 2 that failed to secure funding. 


The £4.8 billion Levelling Up Fund is the Government's major regeneration programme, providing grants to support capital investment projects across the United Kingdom since 2021.

It is a highly competitive fund – in Round 2 of the Levelling Up Fund there were 529 bids submitted, of which just 20.9% (111) were successful.  This included Lancashire County Council’s Eden Project Morecambe, Ashford Borough Council's international film studio and Gateshead Council’s Gateshead Quays Conference Centre and Area.  The chances of securing funding were slightly better in Round 1 of the Levelling Up Fund, when 105 (34.4%) of the 305 bids were successful.

Announcement of Round 3 LUF winners

On Monday 20th November 2023 the Secretary of State for Levelling Up announced the winners of the third round of the Levelling Up Fund.

The remaining £1bn has been awarded using a new methodology as set out by DLUHC, based upon considering bids from the second round which missed out on funding. In doing so, the Department for Levelling Up, Housing and Communities officials, considered metrics based upon Levelling Up Need as set out in the Levelling Up White Paper, ranking local authorities against 4 metrics which cover skills, pay, productivity and health.

The Levelling Up Fund Round 3 winners are:

LA Name

Bid Name

Bid Value (£)


National Centre for Decarbonisation of Heat



Blackpool Town Centre Access Scheme (TCAS) - regeneration focused transport investment



Bolton Town Centre North Regeneration Project



Enhancing Keighley engineering, manufacturing, and economic role in the region



Regenerating Llanelli



National Cyber Innovation Centre



Town Centre Improvements and Civic Square Development



Reconnected Croydon



Tackling Deep Rooted Denbighshire Deprivation through Pride of Place & Natural Environment



Levelling Up Doncaster North



Levelling Up Halesowen



Brierley Hill Education Quarter


Dumfries and Galloway

Dumfries and Galloway Transport Bid


Dumfries and Galloway
(with Scottish Borders and South Lanarkshire)

Three Rivers Active Tourism Project



Levelling Up Angel Edmonton


Glasgow City

Drumchapel Town Centre Regeneration



Greyfriars Quarter Regeneration



Reconnecting Historic Gosport Waterfront



St George’s Square


Isle Of Wight

Island Green Link



Huddersfield Open Market Regeneration Project (HOMH)



Penistone Line Rail Upgrade



Heart of Holbeck



Connecting St Margaret’s



Regenerating Wythenshawe Town Centre



Elgin City Centre Masterplan: Levelling Up Moray


Neath Port Talbot

Newbridge Active Travel Link and Dock Access


Neath Port Talbot

Port Talbot Town Centre Regeneration


Newark And Sherwood

Shaping Sherwood Revival


Newcastle Upon Tyne

River Tyne Regeneration Infrastructure


North Ayrshire (with South Ayrshire)

Levelling Up For Ayrshire: Commercial and Low Carbon Infrastructure


North Lincolnshire

Scunthorpe Town Centre Vibrancy



Mile Cross Health, Wellbeing and Economic Activity



Bulwell Town Centre Regeneration



Westgate to Eastgate: Levelling Up Pembroke Town



Plymouth and South Devon Freeport (Freeport) Accelerating Plymouth Waterfront Regeneration



Promoting recreational tourism in Powys through transport investment



Grove Lane



Parkwood Springs



A Vision for Tonedale 2022


South Derbyshire

Swadlincote Town Centre


South Lanarkshire

National Business District: Shawfield - Remediation and Development


South Tyneside

South Shields Riverside Transformation



Stafford Station Gateway



Stockton North - Billingham Town Centre



Destination Denton


Test Valley

Andover Revealed



Brixham Fish and Hi Tech Chips


Vale Of Glamorgan

Barry Making Waves - Y Barri Creu Tonnau



The Ridings Wakefield



Create Watford


Westmorland and Furness

Heart of Kendal



Leigh Town Centre



Renewal of Liscard Town Centre



Green Innovation Corridor



Subsidy Control compliance in the Levelling Up Fund

Since the bids for the second round of the Levelling Up Fund were submitted by local authorities the United Kingdom has put in place a new Subsidy Control regime.  Therefore it is anticipated that successful bids will need to submit updated subsidy control advice to the Department for Levelling Up, Housing and Communities, most likely including a review as to whether the measure can fit within the Levelling Up Fund Subsidy Scheme.


The announcement of the third round of the Levelling Up Fund is not a surprise, given Michael Gove's announcement in October that the competition would be launched before the Autumn Statement.  However, there will be surprise that the winners are to be picked from the second round competition run in 2022.  Naturally the areas which have secured funding will be delighted, whereas the unsuccessful bidders may well wish that the Government had given them the opportunity to present a new, updated case as to why their projects deserve investment.

DWF have a market leading Subsidy Control team, so are on hand should your Levelling Up Fund application require Subsidy Control advice.

Further Reading