Five UK Spending Review Promises Welsh Businesses Must Track
The UK Government’s 2025 Spending Review set out billions in public investment across infrastructure, energy, skills, and innovation — all positioned as drivers of long-term growth. But for many business leaders in Wales, the real question is simple: what does any of this actually mean for us?
The headline commitments may be UK-wide, but the impact on Welsh firms will depend on how funding flows, how projects are prioritised, and how well businesses are positioned to respond. From regional rail upgrades to clean energy clusters, and from public procurement pipelines to R&D access — there are clear opportunities, but they won’t land evenly or automatically.
Here we set out five key areas where the Spending Review could affect Welsh businesses in the coming months. More importantly, it highlights the practical steps companies can take now to stay ahead of the curve — and make sure they’re not just watching, but acting.
1. Rail & Transport Connectivity
What’s promised:
£445 million for Welsh rail over the next decade. This includes new stations, electrification, and smoother cross-border logistics.
Why it matters:
Improved rail opens doors for supply chains, commuting talent, and B2B access—especially in under‑served corridors.
Action Steps for Business:
Register interest in new stations (Transport for Wales / CCR engagement).
Start planning for logistics redesign.
Partner with local councils on feeder infrastructure.
2. Clean Energy & CCUS
What’s promised:
Green Book rule changes prioritising regional investments; expansion of CCUS and small modular reactors.
Why it matters:
Wales is a hub for hydrogen, modular reactors, renewables—this funding could catalyse major clusters.
Action Steps:
Audit carbon-heavy processes and test CCUS readiness.
Map inward‑investment prospects (Celtic Sea / North Wales).
Engage with cluster partnerships (Energy Wales, NW Growth Deal).
3. Innovation & R&D Access
What’s promised:
Boosted British Business Bank lending, innovation funding via Skills England and college-university tie-ups.
Why it matters:
R&D access funds innovation pipelines—yet SMEs often miss out.
Action Steps:
Reframe growth plans to include R&D and scale-up.
Connect with Cardiff Capital Region Fund.
Use Industry Wales clinics to prep loan/grant applications.
4. Procurement & Public‑sector Partnerships
What’s promised:
Infrastructure and energy rollouts require robust supply chains—and government has pledged more transparency.
Why it matters:
Welsh SMEs must be in the frame for major contracts—but local businesses often miss out due to low visibility.
Action Steps:
Update supplier registers and capability statements.
Attend regional procurement clinics and “meet the buyer” days.
Monitor Green Book reforms to identify new procurement opportunities.
5. Skills & Training
What’s promised:
The 2025 UK Spending Review commits £1.2bn per year to training and upskilling young people—supporting over one million into apprenticeships and high-quality training pathways. This supports our workforce renewal agenda.
Why it matters:
Without skilled talent, none of the above will succeed.
Action Steps:
Invest in apprenticeships closely matching your technology.
Apply for Welsh Government training grants (50%).
Join employer-led curriculum design via Industry Wales.
These five commitments offer real opportunities—but they demand action. If you’re a Welsh business making plans this year, industry growth hinges on being proactive: identify funding, build network links, and signal your capability early. Start now—reach out to Industry Wales to explore funding guidance, training support, and procurement readiness. Let’s turn national commitments into Welsh momentum.
For more information about the UK Government’s spending review 2025, visit this link.
Created using AI tools