Consultation Response
Welsh Government: Proposals for an approach to the UK Local Growth Fund in Wales
Deadline for Response: 19 December 2025
Welsh Government is gathering views on the roll out of the Local Growth Fund worth half a billion pounds. ColegauCymru is broadly supportive of the objectives and guiding principles, particularly the focus on skills and employability, business support, green infrastructure, and local economic development.
The emphasis on partnership working, multi-annual planning, and adding value to existing programmes is especially welcome. ColegauCymru strongly endorses the principle of avoiding duplication, ensuring that new provision complements rather than competes with established college delivery.
However, there is concern that the overall balance of funding that will be allocated to the priority of supporting people into work and increasing skills. While it is welcome that this area will be predominantly revenue funding, there is concern that the actual proportion of investment given to this priority will be too low overall and will not be sufficient to meet the level of need. Investment in skills is a crucial element of improving productivity and creating pathways into sustainable, well-paid work but under these proposals it is unclear whether sufficient funding will be allocated to enable colleges to meet the scale of need from within communities and employers. It is important that the role of colleges in Corporate Joint Committees is strengthened, so that skills priorities are developed and delivered in partnership with those best placed to understand local and sectoral needs. This will help avoid duplication, ensure equitable access (including for rural and coastal areas), and maximise the impact of investment.
The Local Growth Fund represents an important opportunity for both the Welsh and UK Government to support work that unlocks growth and productivity gains. Putting colleges at the heart of the process to set priorities and to deliver skills and employability interventions is one of the best ways to maximise the benefits of investment and to ensure resources reach communities most in need. ColegauCymru and the FE sector are committed to working in partnership with the Welsh Government, CJCs, and other stakeholders to ensure the Local Growth Fund delivers lasting benefits for learners, employers, and communities across Wales.
Further Information
Welsh Government Open Consultation
Proposals for an approach to the UK Local Growth Fund in Wales
Amy Williams, Policy Officer
Amy.Williams@ColegauCymru.ac.uk