Major infrastructure and regeneration projects across South East Wales could gain a new route to public and private capital after Cardiff Capital Region entered a strategic partnership with the National Wealth Fund.
The agreement will see the region work directly with the UK’s public finance institution to strengthen its pipeline of investable projects and help turn major economic ambitions into propositions capable of attracting finance.
Rather than representing a standalone funding allocation, the partnership will give Cardiff Capital Region access to the National Wealth Fund’s investment expertise, advisory capability and capital, with a particular focus on developing projects, attracting private investment and accelerating infrastructure delivery.
The approach could be significant for a region seeking to translate major opportunities across energy, transport, regeneration, advanced industry and commercial development into long-term economic growth.
Cardiff Capital Region will work alongside the National Wealth Fund, Welsh Government and its ten constituent local authorities, combining national investment capacity with local knowledge of projects and opportunities.
Similar partnerships elsewhere in the UK are already supporting projects including Clyde Metro in Glasgow City Region, the Sports Quarter in the West Midlands, zero-emission buses in Greater Manchester and mass transit in West Yorkshire.
The agreement follows growing investment activity across South East Wales. More than £115 million is already being deployed through initiatives including Cardiff Capital Region’s Strategic Premises Fund and Northern Valleys Initiative, supporting the development of business and industrial space and wider regeneration.
Cllr Mary Ann Brocklesby, Chair of Cardiff Capital Region, said:
“This strategic partnership with the National Wealth Fund is a show of confidence in the region to accelerate the development of genuinely game-changing projects that will drive sustainable economic growth across our region and to the benefit of the nation and local communities.
“By combining our deep understanding of local opportunities with the Fund’s investment expertise and capital, we can strengthen our pipeline of investable projects, unlock private sector investment and deliver the infrastructure needed to support thriving communities, better connectivity and high-quality jobs.”
Secretary of State for Wales Stephen Kinnock said:
“The new partnership between the UK Government’s National Wealth Fund and Cardiff Capital Region will help boost the Welsh economy by driving investment into infrastructure, regeneration and the jobs of the future.”
The partnership forms part of the National Wealth Fund’s Regional Project Accelerator programme, which aims to establish deeper, longer-term relationships between the Fund and regional leaders.
A key objective is to use the Fund’s commercial and investment expertise earlier in the development of projects, helping regions build propositions capable of securing investment and progressing towards delivery.
Kellie Beirne, Chief Executive of Cardiff Capital Region, said:
“By connecting national investment capacity with the ambition and opportunities across all ten areas in our region – and working in the Welsh way, collaboratively with UK, Welsh and local government – we can unlock private capital, accelerate delivery and make a bigger collective impact for our economy, communities and places.”
Oliver Holbourn, CEO of the National Wealth Fund, added:
“To unlock the UK’s future we need to grow regional economies. This announcement signals our continued commitment to expanding our partnerships with local leaders across the UK, providing tailored support based on local needs and opportunities, creating jobs and spreading the lasting benefits of investment to the local communities they serve.”
The challenge now will be converting the partnership into a stronger pipeline of investment-ready projects capable of drawing additional private capital into South East Wales and accelerating developments that might otherwise take longer to reach delivery.
