INVESTMENT in Scotland's biggest regeneration project and its job creation potential has exceeded all previous expectations, according to the group co-ordinating the scheme.

The Clyde Waterfront project, which stretches from Glasgow city centre to the Erskine Bridge, could see up to GBP5.6bn invested in coming years in the riverside development.

Reshaping both the economy and landscape of the Clyde could also deliver more than 50,000 new jobs, created in part from the construction of 23,659 new homes, as well as almost one million square metres of office, retail, industrial and leisure space.

The latest investment predictions are GBP1.7bn more than previously stated, while the new job figures are 18,000 more than the envisaged.

According to the Clyde Waterfront Strategic Partnership Board, increased demand for office and retail space has driven up estimates.

The findings, part of an updated analysis of the regeneration programme, were revealed at Waterfront Expo 2006 - the world's largest conference and exhibition focusing on global waterfront development. Some 450 delegates, including academics, developers, tourism organisations and civic leaders, from 33 countries are attending the Expo, to learn lessons that may be applied to their own projects.

Beating competition from Lisbon, Istanbul, Stockholm and Dublin to secure the event has in itself been seen as recognition of the strides made by Glasgow in transforming the riverside. The latest predictions come as Scottish Enterprise Glasgow announced at its annual conference that completion of the GBP20m Clyde Arc would open up the whole of the Pacific Quay site with the potential of 5000 new jobs in a new Digital Media Campus.

The agency also reported progress along the rest of the Clyde Waterfront, in particular in the International Financial Services District (IFSD).

Last year, more than 2000 jobs were created in the IFSD and it was voted the UK's most successful private sector regeneration project.

Steven Purcell, leader of Glasgow City Council, yesterday told delegates at Glasgow's SECC that a total of 20,500 jobs would come from projects already completed, in progress or approved. He revealed another 30,300 posts are associated with projects in the early stages of development around the Clyde.

Mr Purcell, who is also chairman of the Strategic Partnership Board, said: "The tide of economic fortune for the River Clyde and its communities is turning. Investment is taking place at unprecedented levels and with it jobs, confidence and self-belief are returning to an area blighted by industrial decline."

Of the expected GBP5.6bn investment, GBP4.25bn would come from the Glasgow area, GBP500m from Renfrew and GBP395m from the area covered by West Dunbartonshire Council. The projected investment would come from the private and public sectors, with every GBP1 invested by the public sector matched by GBP2.50 from private developers.

Projects both in the pipeline and recently completed include well-advanced plans to move the Museum of Transport at Yorkhill Quay next to Glasgow Harbour and the Scottish Enterprise-championed new digital and media village at Pacific Quay, that has already attracted a new BBC HQ and a new base for STV.

The SECC has huge expansion plans, including a major new arena and a deal with a housebuilder for the Queen's Docks scheme, while Phase 2 of the residential Glasgow Harbour development just up river is already under way.

Peter Kearns, executive director of Clyde Waterfront, said the investment figures and job predictions were revised having had two years of an "extremely positive reaction" to the developments.