The Welsh Government has unveiled its plans for the £547 million Local Growth Fund, a major investment programme designed to strengthen regional economies, improve skills, support businesses and create better‑paid jobs across Wales.
During a visit to Ebbw Vale, the First Minister announced details of the Investment Plan, which has been jointly endorsed by both the Welsh and UK governments. The plan outlines how the funding will be allocated over the next three years across key priority areas and the four Welsh regions.
The Local Growth Fund will be distributed across three core priorities:
1. Supporting productive and competitive businesses
2. Increasing skills and supporting people into work
3. Building infrastructure
The Welsh Government emphasised that the Local Growth Fund has been designed to empower Wales’ regions by targeting areas with the greatest need, boosting regional productivity, supporting high‑value sectors, and creating better‑paid, sustainable jobs.
Allocations will be shaped by regional spending plans that reflect local strengths, opportunities and challenges. These plans, agreed with the UK Government, will determine how the money is spent, ensuring investment is tailored to the needs of each part of Wales.
The funding will be aligned with key regional economic priorities, such as:
- Advanced manufacturing
- Clean energy
- Innovation and research
- Local enterprise growth
This targeted approach aims to help regions scale their economic potential while addressing inequalities and supporting long‑term prosperity.
Welsh First Minister Eluned Morgan commented:
“I’m really pleased decisions on this post-EU funding, which is so important in supporting regional and local economic growth in Wales, is being returned to the Welsh Government.
“We want to use all the levers we have to stimulate economic growth, especially in parts of Wales where economic inactivity and unemployment are higher and wages are lower.”
The Local Growth Fund will now move into delivery as regional partners finalise their spending plans and prepare to roll out projects across Wales.
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