A report from the Comptroller and Auditor General has found that Northern Ireland's City and Growth Deals are progressing well behind expected timelines. As of March 2026, £1.2 billion of the £1.3 billion in central government funding remained unspent, with only a small number of projects operational.

The analysis estimates that assuming an annual inflation rate of three percent, each year of delay reduces the real-terms value of the allocated funding by approximately £37 million. A 15-year delivery window, starting from the signing of each deal, is not being formally managed as a strategic risk despite the potential threat to funding if progress does not quicken.

Benchmarks indicate that Northern Ireland has moved more slowly than comparable regions. The report also highlights significant gaps in how delivery costs are tracked and how value for money is assessed after the initial business case stage. Such weaknesses limit transparency and assurance given the scale of cost overruns and delays across the deals.

The Derry and Strabane Region City Deal was signed in September 2024. Over £300 million has been allocated for innovation, digital, health, regeneration, tourism and renewal projects, with an initial forecast of 6,300 new jobs by 2033. Major projects include the North Atlantic Museum at Ebrington, the School of Medicine at Magee and the Central Riverfront Project.

The auditing body will continue monitoring delivery and responses to its recommendations.