The government is expected to provide £80m over the next five years to each of the new investment zones. The funds can be directed towards tax relief for businesses, training and infrastructure.
Officials said the Investment Zone plan is designed to accelerate research and development in the UK’s “most budding industries”.
The announcement was made by Chancellor Jeremy Hunt on Monday, but he is expected to unveil more details in tomorrow’s Spring Statement.
The project is a scaled-down version of a plan first designed under former Prime Minister, Liz Truss, and has been framed under Hunt's ambitions to turn the UK into “the next Silicon Valley“.
"True levelling up must be about local wealth creation and local decision-making to unblock obstacles to regeneration," Hunt said in a statement.
"From unleashing opportunity through new Investment Zones, to a new approach to accelerating R&D in city regions, we are delivering on our key priority...