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UK’s Emerging ‘Silicon Valley’ Near GCHQ in Cheltenham Advances with £71.5m M5 Funding Boost

The vision of establishing a “Silicon Valley” in the UK, adjacent to GCHQ in Cheltenham, has moved significantly closer following a substantial funding boost for the M5 motorway improvements. Homes England has announced an additional £71.5 million allocation for revamping junction 10 on the M5, bringing the total project budget to £372 million.

This major motorway upgrade is considered transformative for Gloucestershire, enabling access in all directions and unlocking land for the development of 20,000 new homes. More importantly, it paves the way for creating a cutting-edge technology cluster in the Golden Valley area, centered around the National Cyber Innovation Centre near GCHQ. The development is expected to generate approximately 12,000 skilled jobs and attract significant international investment partners.

Gloucestershire County Council leader Lisa Spivey described the project as a groundbreaking initiative with remarkable potential. “This could be the Silicon Valley of the UK. It has world-leading potential,” she said. Discussions between local councils and GCHQ have highlighted strong international interest, as global partners are eager to invest alongside GCHQ’s expanding innovation footprint.

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Cheltenham Borough Council leader Rowena Hay emphasized the critical role of junction 10 in realizing this long-term vision. “Without junction 10, we could only bring forward half of the project. Now, this funding means a 20-year vision is coming to life,” she stated. Full planning permission is in place, and construction is set to commence in autumn.

Beyond the junction overhaul, the project includes a new link road connecting the A4019 to the B4634 in west Cheltenham, widening of the A4019 Tewkesbury Road, and the introduction of new cycle paths, walkways, and flood mitigation measures. Funding combines £286 million from the UK Government’s Housing Infrastructure Fund via Homes England, £40 million tied to future capital and community infrastructure levy (CIL) receipts, plus contributions from developers and district councils.

This collaborative effort marks a major step toward transforming Gloucestershire into a thriving hub of technology and innovation, positioning it as a key player on the global stage.

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