Question to the Wales Office:

To ask His Majesty's Government, with regard to the Cardiff Capital Region City Deal, how much has been spent to date by (1) the UK Government, and (2) the Welsh Government; how many new jobs have been created; and which sectors and local authority areas those jobs are in.

The UK Government is working in full partnership with the Welsh Government to co-invest in the delivery of four City and Regional Growth Deals across Wales. Since it was agreed in 2016 by UK Government, Welsh Government and ten local authorities in South East Wales, we have collaborated to deliver this £1.23 billion programme, which builds upon the region’s sectoral strengths.

Over its 20-year lifetime, the Deal aims to deliver 25,000 new jobs and attract £4 billion in private sector investment. To support the delivery of these aims, the UK Government has committed £500 million, of which £375 million has been allocated to the Wider Investment Fund and £125 million has been allocated to the Electrification of the Core Valley Lines. The Cardiff Capital Region City Deal is the only Welsh deal where UK Government contribution is not directly matched by Welsh Government. The Welsh Government’s funding supports the Cardiff Capital Region by contributing £734 million to the delivery of the South Wales Metro. £192 million has been invested by the Deal to date.

The City and Growth Deals invest in large-scale capital investments, which by nature take longer to deliver employment outcomes. As capital investments near completion, there will be an acceleration in job creation in line with projected outcomes. For example, the extension to the new KLA factory is due to complete with contractors by December 2025. As of September 2025, the Deal has created a total of 4,335 jobs across the ten local authorities covered by the Deal, and across a wide range of sectors, including:

• Compound semiconductors
• Transport
• Digital & Innovation
• Skills and Employment
• Creative Industries
• Life Sciences
• FinTech

The UK Government’s investment and collaboration with the Welsh Government has kickstarted sustained economic growth in the Cardiff Capital Region and will continue to unlock new opportunities for people and businesses across the region.