Tourism is a cornerstone of the Welsh economy. Visitors spend almost £5 billion a year here, supporting jobs, supply chains, and communities in every corner of the country.
For the Welsh Government, and for us at the Development Bank of Wales, helping this sector grow is about more than visitor numbers – it’s about sustaining livelihoods, creating quality employment, and keeping money circulating locally.
That’s the thinking behind the Wales Tourism Investment Fund. Backed by the Welsh Government and delivered by the Development Bank, it offers between £100,000 and £5 million to support capital investment in tourism. By blending commercial loans with qualifying grants, it gives businesses the flexibility to plan, invest and grow at a pace that would be much harder to achieve through cashflow alone.
The aim is simple – to help Welsh tourism businesses scale up, innovate and deliver a lasting impact on both the sector and the wider economy. The fund is open to a wide range of projects: accommodation providers, attractions, activity operators, and other ventures that draw visitors to Wales. Whether it’s creating new high-quality assets or upgrading existing ones, we look for plans that are commercially viable, sustainable and capable of creating or safeguarding jobs.
Pitton Cross Farm on the Gower Peninsula is a great example of what this support can achieve. Originally a working farm, it was purchased in 2021 with a vision to blend heritage, nature and hospitality. The owners secured a £200,000 loan from the Wales Tourism Investment Fund, supported by a £10,000 grant from Swansea Council’s Tourism Support Fund. This is enabling the transformation of traditional outbuildings into six farm-themed holiday lets, each celebrating the history and character of the land. Once complete, the site will sleep up to 30 guests across seven units – ideal for extended families, flexible group bookings, or a full-site retreat.
Without this investment, the project would still have happened but at a much slower pace. Tourism is often seasonal, and we understand that cashflow can be tight in the quieter months. That’s why the fund is designed with features such as phased drawdowns and seasonality payment breaks, helping businesses to manage their finances while pushing forward with growth plans.
One of the things that makes this work possible is collaboration. We work closely with Visit Wales, Business Wales, local authorities, and mainstream banks. Many of the projects we support have started with a conversation between a business owner and their local bank, only to find the proposal sits outside standard lending policy. Rather than turning that idea away, banks and advisers will point them in our direction. The same applies to Business Wales advisers, who provide hands-on support with planning and applications.
Swansea Council’s involvement with Pitton Cross Farm shows how local authorities can also be a vital partner. By bringing different organisations to the table, we can combine resources and expertise to unlock projects that might otherwise stall. We’re not competing with commercial banks – our role is to complement what they do, filling the gaps and making sure that viable tourism ventures can get the funding they need.
For me, one of the best parts of this job is visiting the businesses we support. Meeting the owners, hearing their plans, and seeing the sites where those plans will take shape is invaluable. At Pitton Cross, the view from the patio is enough to make you understand exactly why visitors want to come here – and why it’s worth investing in making the most of that potential.
Tourism in Wales is about more than a summer season. It’s about distinctive places to stay, experiences that surprise and inspire, and products that reflect the character of Wales. From dog-friendly themed accommodation to heritage-inspired hospitality, the businesses we back are helping to strengthen the Wales brand and attract visitors year-round. The Wales Tourism Investment Fund is here to help them do that faster, more confidently, and with the right partners behind them.
David talks about this and more in the Meet the Funder podcast episode Scaling Tourism in Wales – The Power of Strategic Investment. Listen to the podcast here.
