Rural Scotland People, Prosperity and Partnership

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The Cowal Initiative

In 1992, the United States Navy service base on the Holy Loch was closed. For the previous 30 years, it had dominated the economy of Dunoon and the Cowal peninsula. The response to the base closure was a three year initiative led by Argyll and the Islands Enterprise, in partnership with the Cowal Enterprise Trust, Highlands and Islands Enterprise, Argyll and Bute District Council, Bute and Cowal Tourist Board, Cowal Community Councils Platform, Dunoon Chamber of Commerce and Strathclyde Regional Council.

The initiative, which included expenditure on finance for business, environmental improvements, training and community development, proved highly successful and an independent evaluation concluded in February 1995 that:

• by the end of 1994, more than 730 additional jobs had been created or retained, with the figure forecast to reach 950 by 1997, thus replacing the jobs lost as a result of the base closure

• the initiative had successfully attracted inward investment and diversified the economic base

• the initiative had been successful in its economic impact and that confidence had been instilled in the community

• the initiative had proved that a well-resourced and locally focused organisation can deliver positive benefits in the regeneration and economic development of rural areas.