Game-changing £160 million investment zone co-designed by Teesside University to grow digital and creative sectors

Teesside University’s expertise in research and innovation is to play a key role in a £160m investment zone established to unleash the strengths of the creative and digital companies in the Tees Valley.

Through its experience of driving innovation through knowledge exchange and academic expertise, Teesside University will be a pivotal factor in the success of the Tees Valley Investment Zone which has been announced by Government today (March 1).

The investment zone has been co-designed by the University, together with Tees Valley Combined Authority, and will set out to increase inward investment, productivity, and jobs in the region’s creative and digital sectors – with an initial focus on Hartlepool and Middlesbrough.

As the ‘knowledge anchor’ for the investment zone, Teesside University will build on its established reputation as a catalyst for economic growth by driving innovation through its industry-focussed research and establishing key collaborations across academia and the public and private sectors.

The University will drive new intellectual property (IP) generation, introducing new innovative products to the region and boost commercial opportunities including through export.

This innovation will be borne out if its internationally-renowned research activities which are specifically tailored to address current and emerging challenges and tackle economic, societal and contemporary problems.

By providing research expertise to businesses within the investment zone, Teesside University will support demand-led R&D projects and build an effective and agile eco-system to drive innovation across the Tees Valley.

Home to world-leading companies in the digital and creative sector, many of which have been founded by Teesside University graduates, the Zone will seek to bolster the region’s strength even further with the help of Business Rate Relief, investment in infrastructure, and more support for businesses.

The zone is primed to help create more than 2,000 jobs in the sector and unlock £175million of investment in the next decade.

Professor Craig Gaskell, Pro Vice-Chancellor (Enterprise and Knowledge Exchange) at Teesside University, said: “Teesside University continues to play a significant role in the growth of the Tees Valley’s thriving creative and digital sector. Our talented graduates have created many of the region’s most successful and innovative businesses.

“By further developing this exciting sector, the new Tees Valley Investment Zone will unlock huge opportunities for our students, through the creation of high-quality jobs and fostering an environment where their entrepreneurial ambitions can be realised.

“As an institution which is internationally renowned for the quality of its digital, animation and computing courses, we are delighted to be the knowledge anchor for the Tees Valley Investment Zone. We look forward to working with partners to drive innovation and deliver key skills and impactful research which will enable the future success of these vital industries.”

Professor Stephen Cummings, Pro Vice-Chancellor (Research and Innovation) added: “Teesside University is at the heart of the digital and creative eco-system in the Tees Valley.

“The investment zone represents a fantastic opportunity to bring our research excellence in subjects such as artificial intelligence (AI), machine learning, big data, building information management (BIM) technologies, and smart energy to work with industry across all sectors, in creative and innovative ways to drive growth for the region.”

As well as Teesside University, local businesses, the Tees Valley Combined Authority and the Tees Valley Business Board will all play a key role in shaping the Zone’s interventions to create a world-class cluster. Tees Valley Mayor Ben Houchen said: “Teesside is a powerhouse on the country’s digital scene and we’re proud of the global leaders we have in the gaming and creative industries.

“I’m delighted the Government has given us the green light on our Investment Zone to supercharge our digital and creative potential, and really put a fire under our ambitions.

“Ultimately, it will mean people in Teesside, Darlington and Hartlepool will be able to take on well paid jobs in cutting-edge industries close to home, rather than moving away to Manchester or London. We’ll foster our talent here and create places to ensure that talent has even more reason to stay.

“This is another massive boost which will bring thousands more jobs for local people and the knock-on benefits of injecting hundreds of millions of pounds into our economy.”

Announced by the Chancellor in the 2022 Autumn Statement, Investment Zones are aimed at boosting high-potential sectors in areas in need of levelling up to increase productivity and growth.

There will be £160million invested in the zone over a ten-year period.

Digital and creative innovation plays a crucial role in supporting all sectors and the Investment Zone will?provide specialist support to businesses in the sector to boost productivity, create jobs and help transform communities across the region.

Siobhan McArdle, Chair of the Business Board, said: “The Business Board welcomes the opportunity the Investment Zone offers to all businesses across the Tees Valley.

“We already have great strength in our Digital, Createch, Medtech and Greentech sectors and this additional investment and support will enable us to drive further innovation and growth across these strategically important clusters.”

Pneuma Group, the parent company of Middlesbrough-based video games developer and publisher Double Eleven, which was co-founded by a Teesside University graduate, has committed to making the first new major contribution to the Investment Zone.

The group as a whole is investing at least £15 million to support Double Eleven’s growth and help the wider region.

Kimberley Turner, Chief Finance Officer of Double Eleven, said: "We're thrilled to be able to help boost the dynamism of the region in support of our ambitions.

“We believe that our investment will allow us to offer even more premium job opportunities, strengthening our position as a key employer in the sector as we compete with other game studios globally.”

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