Welsh Secretary Stephen Kinnock has helped launch the delivery phase of the Cardiff Capital Region Investment Zone, a £160 million, 10-year programme aimed at accelerating advanced manufacturing, digital technology and innovation across South East Wales.
Kinnock said:
“We are investing £160m over 10 years, to support advanced manufacturing and innovation, with an ambition to unlock 4,000 high-skilled jobs across South East Wales.”
The Cardiff Capital Region confirmed on 24 September that the Investment Zone has now moved into delivery, describing it as a major step towards making the region a global hub for advanced manufacturing and digital technologies.
£160m over 10 years
The programme is jointly backed by the UK and Welsh Governments and is one of two Investment Zones in Wales.
Each Welsh Investment Zone has access to up to £160 million over 10 years, which can be used flexibly across infrastructure, skills, research and innovation, business support and, where appropriate, tax incentives.
The Cardiff and Newport zone has been designed around South East Wales’ existing strengths in advanced manufacturing and technology.
4,000 high-value jobs and £500m private investment ambition
Newport City Council says the programme is expected to help unlock up to 4,000 high-value jobs, leverage around £500 million of private-sector investment and support about 3 million square feet of manufacturing, research and innovation space.
A major focus will be the region’s compound semiconductor cluster around Newport, which local authorities describe as the world’s first dedicated compound semiconductor cluster.
Backing skills, infrastructure and innovation
The Investment Zone programme is expected to support four broad areas: infrastructure, skills, innovation and R\&D, and business support.
Work is already under way on a dedicated skills programme, with Cardiff Capital Region seeking a managing agent to deliver its first phase.
The wider aim is to connect employers more closely with training providers and ensure local people can access the skilled jobs created by new investment.
Kinnock links investment to reindustrialisation
Kinnock’s intervention comes as the Government puts reindustrialisation and regional growth at the centre of its economic strategy.
The Investment Zone model is intended to build on local economic strengths rather than impose a single national template, using targeted public investment to attract private capital and remove barriers to business growth.
For South East Wales, that means concentrating on sectors where the region already has significant research, manufacturing and supply-chain capability.
South East Wales aims for global position
Cardiff Capital Region says moving into delivery marks the beginning of a new phase for the programme rather than simply another funding announcement.
For Kinnock, the £160 million Investment Zone is intended to turn South East Wales’ existing industrial strengths into a larger pipeline of investment, innovation and skilled employment - with 4,000 new jobs at the heart of the ambition.
