UK Government announces Local Growth Fund for Wales worth over £500m
The UK Government has announced a Local Growth Fund for Wales worth more than £500m, launching in April 2026 for a three-year period to replace funding previously provided by the European Union. The Welsh and UK Governments have agreed a framework setting priorities and processes for allocating the funds, with decision-making powers transferred to the Welsh Government in accordance with the UK Government's manifesto commitment to restore control over money that previously came from the EU. The Welsh Government will lead development of a delivery plan and Investment Plan for Wales, to be published next year before the fund begins. Local authorities and other partners will have a key role in deciding fund allocation, with the Welsh Government conducting a consultation later this month on optimal fund usage. The fund aims to support employment, skills development, business growth in sectors including health and bio-tech, financial technology, low carbon energy and artificial intelligence, and address growth barriers through investment in key sites, renewable energy generation, energy efficiency and low-carbon transport.