As Chief Executive of the Development Bank of Wales, I’ve been proud to share the news this week that we’ve reached a major milestone: £1 billion invested in equity, debt, and property development loans. That investment has helped create and safeguard over 50,000 jobs across Wales — a testament to the resilience, ambition, and potential of our economy and our business community.
Since our launch in 2017, our mission has been clear: to provide sustainable, effective finance for Welsh-based businesses. We exist to fill the gaps left by commercial operators — to support those who want to start up, scale up, and embrace new technologies. Every day, I see how this work drives job creation and unlocks potential in every corner of our nation.
Take, for example, IQ Endoscopes in Cardiff — a medical device innovator that set up here following our initial backing in 2020. Our investment not only supports cutting-edge healthcare but also positions Wales as a hub for global medical innovation.
What’s especially rewarding is the ripple effect of our efforts. For every pound we’ve invested, £5.80 in jobs-based GVA has been generated — a nearly sixfold return in economic value. We’ve also unlocked £636 million in private sector co-finance, amplifying our impact. And because the vast majority of our investments are repaid, those funds are recycled — reinvested again and again into Welsh businesses. It’s a virtuous cycle of growth, maximising the value of public investment.
As we approach the Welsh Government’s International Investment summit in December, these results demonstrate the enormous potential for growth and innovation within the Welsh economy.
With offices based across the nation in Llandudno, Llanelli, Wrexham, Newtown and Cardiff, the Development Bank has a footprint throughout Wales which has enabled us to support 4,699 businesses via 5,184 investments. We have pursued an across-the-board approach both in terms of sectors and geography. As high street lenders retreat, we have an experienced and committed team of investment executives based in all corners of our country, dealing directly with businesses on a face-to-face basis. This personal touch is key to our ethos, working together with Welsh businesses to help them achieve their potential and ambition.
In North Wales, 1,078 businesses have benefitted from investment totalling £240.4 million and a further £135.3 million in co-investment. One such example is Reacta Healthcare. Based in Deeside, we first backed the tech venture in 2019 and have since invested £2.8 million in equity funding. This support has enabled Reacta to scale manufacturing, expand its product range,
and double its workforce. The company now supplies products to over 300 clinical trial sites across North America, Europe, Australia, and soon the Middle East, South Africa, South America, and Asia.
1,399 businesses in Mid and West Wales have had £323.4 million from the Development Bank and £143.2 million in co-investment. In Machynlleth, we partnered with Visit Wales to invest in the refurbishment of the White Lion Hotel, boosting local tourism and creating new jobs.
South East Wales has seen direct investment of £436.5 million and co-investment of £375.5 million for 2,222 businesses. From Anglesey to Abergavenny, Wrexham to Withybush, and the Cardiff Capital Region, the Development Bank has proven in its actions that we are an all-Wales institution working for every part of the country.
We’ve backed 787 entrepreneurial start-ups with £61 million, and funded 292 innovative tech ventures with £89 million, unlocking a further £196 million in co-investment. Caerphilly-based SPORTTAPE had an initial loan of £250,000 from the Development Bank in 2022 to fund working capital that helped the business to grow turnover from £1 million to over £4 million in just two years. A further equity and debt investment of £1 million in 2024 is now helping to fund the next stage of growth — a great example of how we follow our money and how we use our debt and equity funding to help entrepreneurs in Wales achieve their full potential.
We’ve supported 341 succession deals worth £138 million, helping keep businesses rooted in Wales. And we’ve provided £428 million in growth funding to 3,675 businesses, helping them scale and thrive. In Neath, a family-run delicatessen received a £150,000 loan to bring organic Welsh produce to the high street — strengthening local supply chains and community entrepreneurship.
Our commitment to property development has also been strong: £275 million has helped Welsh developers build 2,302 homes. £23 million has supported over 223,000 sq. ft of commercial space including £4.1 million from the Welsh Government and the Development Bank for MKR Property Developments to develop a dynamic business park of 14 modern factory units in Merthyr Tydfil. We’ve seen also 30 successful exits, generating over £31 million — returns that we’ve reinvested into future Welsh ventures.
Established by the Welsh Government, we work directly with Ministers to achieve their strategic aims in relation to economic policy. The transition to a sustainable economy and the drive towards net zero is a major focus of our work. First launched in March 2023, our Green Business Loan Scheme is helping businesses reduce energy costs and their carbon footprint. Those to benefit include Mold-based Thorncliffe Building Supplies. A loan of £3.2 million is being used to invest in a new wash plant and water treatment system that will reduce the company’s use of landfill.
Looking ahead, we’re committed to evolving with continued improvement, aspiring to invest in more businesses across more sectors and working hand-in-hand with the Welsh Government and our business community.
It is the amazing Welsh businesses and the support that they’ve received from my colleagues that have delivered these results. We’ve come a long way, but the journey continues.
