UK Government Scotland Office Minister Kirsty McNeill visited Innerleithen to mark the start of enabling works that will transform the former Caerlee Mill site into a world-leading Mountain Bike Innovation Centre.

The Centre is funded by a £19 million investment from the UK Government as part of the Borderlands Inclusive Growth Deal. This includes £4 million allocated towards the Tweed Valley Adventure Bike Park and Trail Lab.

The demolition and enabling works began this week and are being led by delivery partner Hub South East Scotland and main contractor Morrison Construction. Construction of the new building is due to start in March 2026, subject to final business case approval, with the Centre aiming to open its doors in 2027.

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The Innovation Centre is predicted to contribute £138 million in Gross Value Added (GVA) and create over 400 jobs in the Scottish Borders over ten years. The facility will host academics and research by Edinburgh Napier University and offer a place for businesses—both local and international—to showcase innovative products.

Ms McNeill said the project is bringing "jobs and investment to the region and will attract riders from across the country and beyond to a world class facility."

Russel Griggs OBE, Chair of South of Scotland Enterprise (SOSE), called the Centre a "flagship for active tourism, Research & Development and innovation."

The Borderlands Inclusive Growth Deal involves a total investment of £350 million from the UK and Scottish Governments, supported by over £100m of funding from local partners.