The Scottish budget includes a range of measures that will foster inclusive economic growth, raise productivity and improve innovation. For example, we have pledged £201 million of funding for city region and growth deals during 2020-21. There will be £220 million of fresh seed funding for the Scottish national investment bank, contributing to our commitment to invest £2 billion over 10 years, and the National Manufacturing Institute Scotland will receive £26.5 million of funding.
We are undertaking a wide-ranging assessment of hydrogen, its various applications and how it may contribute to achieving our ambitious target of net zero emissions by 2045, and also how it can provide social and economic value for the country. Informed by the outcomes of that assessment and other companion pieces of work, we will publish a Scottish Government hydrogen action plan in 2020. The potential contribution of hydrogen in Scotland’s transition to a low-carbon economy was further recognised in the recent Scottish budget, which committed £10 million for hydrogen for heat demonstration projects.
We recognised in the Scottish budget that innovation improves productivity, competitiveness and growth. We will therefore continue to support business investment in research and development with a target to double the spending of £870 million that happened in 2015 to £1.7 billion in 2025, meeting our commitment to increase support for business research and development from £22 million to £37 million per annum in the three years 2018 to 2021.