Funding boost for Sportcity is announced alongside the city’s own ministerial regeneration group

Manchester has been given £10m in funding and a new ministerial group for regeneration after the announcement that the city’s supercasino has been shelved.

English Partnerships has earmarked around £10m for the expansion of Sportcity, which was originally built to stage the 2002 Commonwealth Games and is being developed as the largest concentration of sports venues in Europe.

The development is expected to create 1,600 new jobs as part of East Manchester’s regeneration drive. The government also said it will extend until 2014 the life of the New East Manchester Urban Regeneration Company, which is to invite proposals for the site.

Hazel Blears, the communities secretary, will chair the ministerial group, which will include representatives from Manchester city council and a cross-section of government departments.

It will support city leaders in bidding for long-term projects such as an application to the Transport Innovation Fund to increase public transport capacity, a new transport hub to provide more rail links and three new skills academies.

The announcements follow the publication of a review on alternatives to casino-led generation.

Blears said: “This £10m boost for Sportcity will unlock huge sporting potential in East Manchester and attract visitors from across the UK and beyond. It’s another piece of the jigsaw in Manchester’s regeneration success story, and can help to create new jobs.

“The new ministerial group will also ensure that success continues well into the future by giving the government’s support to city leaders as they drive forward new jobs, more skills and better transport for our communities.”