Investment zone set to drive economic growth

A NEW investment zone for the Cardiff Capital Region, which promises to create 4,000 hi-tech jobs, has taken a major step forward with the announcement of its industrial and key sites.

- SION BARRY

The zone a joint initiative between the UK and Welsh governments and first announced by the former Tory administration in Westminster will aim to drive innovation and growth across the advanced manufacturing and digital and technology sectors, with a focus on the region's compound semiconductor cluster.

Backed by £160m of UK Government funding over a 10-year period, the zone will help further develop the semiconductor hub in Newport around Imperial Park, where key businesses include KLA, IQE and Vishay which is investing £250m at its chipmaking facility as well as seeking to develop a science and technology park to become the focus point for R&D activity and investment in Cardiff.

The proposed 900,000sq ft business park at St Mellons, with the integrated South Wales Mainline Cardiff Parkway rail station, has been identified as a potential site for the science and tech park element for the zone.

The backers of the project, Investec and the Roberts family, are re-evaluating the cost of a four-platform train station after securing planning approval from the Welsh Government earlier this year after a near two-year delay.

The business park element has attracted strong potential occupier interest, including from aerospace giant Rolls-Royce.

A third site within the 600 hectares allocated for the investment zone could be located in south Cardiff.

The planned zone has passed the second of five gateway reviews, which will now be accelerated.

As well as £160m of government funding support, the aim is for the zone to attract a further £500m in private investment, create 4,000 new jobs and unlock three million square feet of manufacturing, R&D and innovation capacity.