The Scottish Government said on Friday it will invest up to £63.8 million in Dundee’s Waterfront development as part of a package agreed by Deputy First Minister John Swinney and Dundee City Council.

The investment will be made via the Growth Accelerator model (GA), developed by the Scottish Futures Trust (SFT).

The SFT is an independent company established by the Scottish Government with a responsibility for delivering value for money across public sector infrastructure investment.

The £63.8 million investment is designed to stimulate growth, create jobs and support businesses through a combination of public and private sector investment in local infrastructure and public spaces.

The funding is linked to the delivery of agreed outcomes and will be targeted towards improvements to Dundee railway station concourse, development of the new V&A museum and ensuring the Waterfront boasts world class digital infrastructure.

About 4,500 square metres of Grade A office space will also be developed.

Swinney said: “The £63.8 million funding available through this Growth Accelerator agreement underlines the strength of the Government’s commitment to Dundee and our desire to help create jobs and grow the economy.

“The nature of this funding model enables investment to be unlocked now that will support development in the area and longer term economic growth.

“Today’s package includes £13 million for the Dundee Railway Stations concourse in addition to the £4.3 million wider station development and £3 million to establish a future-proofed digital corridor to assist the city’s world renowned games industry and provide a competitive digital solution to support economic development.

“We are also providing up to £20 million to further support the development of the V&A and over £25 million to redevelop the two civic spaces at Discovery Plaza and Waterfront Place.”

Cllr Ken Guild, leader of Dundee City Council said: “Today’s announcement is the key to unlocking increased funding for one of the most exciting and innovative projects currently going on in Scotland.

“The V&A is already creating jobs and injecting money into Dundee’s economy during the construction phase and generating a halo effect by attracting significant private investment.

“In the past two weeks alone we have had more than £70 million of such investment announced in the wider Waterfront regeneration project and Dundee Port.

“Right now there is an unprecedented level of investor interest in Dundee and this announcement will help to reinforce that.”