Deal expected to deliver up to 25,000 new jobs
The agreement of a £1.2 billion City Deal for the Cardiff Capital Region (CCR) is a huge economic boost which will drive growth across the region, First Minister Carwyn Jones said today.
The City Deal, which brings together ten local authorities, includes more than £500m of Welsh Government support towards improving transport infrastructure within the region.
The Deal is expected to deliver up to 25,000 new jobs and bring in an additional £4 billion of private sector investment.
The First Minister today joined the ten leaders of the local authorities involved in the Cardiff Capital Region and the Secretary of State for Wales Stephen Crabb to sign the City Deal document at a ceremony in Cardiff.
Welcoming the City Deal, the First Minister said: "We have lobbied hard for a City Deal for the Cardiff Capital Region and put more than £500m on the table to support improving transport infrastructure within the region. Today's announcement sees that vision become a reality - it is a vote of confidence in the region and a huge economic boost.
"Central to the success of a City Deal is the close collaboration and partnership between all ten local authorities. It is a great example of what can be achieved by coming together for the greater good of our Capital region.
"We've always said that a successful City Deal for Cardiff demonstrates Wales' credibility and opens the door to further Deals for Wales. We continue to push the case for a Swansea Deal and to explore how North Wales can benefit."
Finance and Government Business Minister Jane Hutt said: "This is an important milestone and the culmination of months of detailed negotiations. Working closely with the authorities involved, we've managed to secure an additional £425 million to support targeted initiatives in the South East Wales region. With the local authorities contributing £120 million, the total investment is significant.
"The additional investment by us and UK Government acknowledges the case made by the authorities for how they can drive economic growth in the region. The Deal signed today will have a positive long term economic impact across the region.
"The authorities asked for the Metro to be a central project in this City Deal and we agreed that it can bring wider economic development.
"We were pleased to be able to include it and are committed to working closely with the authorities to deliver it. We are also exploring additional economic levers and financial flexibilities for the authorities, such as allowing the region to retain business rate growth delivered by this transformative Deal."
Leader of the Welsh Conservatives Andrew RT Davies said: “This once in a generation opportunity is yet further evidence that the UK government is prioritising Wales and that Conservatives are delivering for communities right across the country.
"The city deal is forecast to net huge benefits for the economies of Greater Manchester, Leeds and Glasgow, and it is great to see that South Wales will now be well placed to benefit from this once in a generation opportunity.
"It's a game-changing moment for the regional economy and follows months of negotiations between local authorities in the region.
"It's vital that both the public and private sectors now work together to ensure that the full potential of this deal is realised but, above all, this is a good news day for Wales."