Confidence is high that Growth Deal will be signed before Christmas

At a meeting of the Growing Mid Wales Board Joint scrutiny committee which is made up of councillors from both Ceredigion and Powys county councillors, members were given an update on how the deal is proceeding.

Mid Wales Growth Deal strategic manager Carwyn Jones-Evans explained that the documents had been submitted to both the Welsh and UK Governments for scrutiny in October, and officials had come back asking for tweaks to be made, but nothing major to derail the deal.

Mr Jones-Evans said: “Back in October we took the portfolio business case to the government for what’s known as an accounting officer review.

“That was concluded and there’s about 10 recommendations from that but there’s no showstoppers in terms of stopping the final deal agreement.

“The final deal agreement is another document, and it’s a political declaration in the same way as the heads of terms last year.

“What the agreement will say is that both governments are happy that the case for the deal has been made for it and they are comfortable that we have plans for programmes and projects, and with the governance arrangements we are putting in place.”

“The dates for signing the agreement are still up in the air but it is looking promising for before Christmas, but that’s in the lap of ministers.

“The two leaders (councillors Ellen ap Gwynn of Ceredigion and Powys’ Rosemarie Harris) are pushing strongly to ensure a deal is signed before Christmas.

He added that the agreement would not be made public until the deal is signed.

The money which will come in tranches of £11 million-a-year will not be released immediately.

Mr Jones-Evans pointed that the North Wales Growth Deal had been signed this time last Christmas, but the money only started to flow several months later.

Committee chairman Powys County Council’s Councillor Gwynfor Thomas said: “To be fair, this is the update we wanted to hear.”

The Welsh and UK Government believe the growth deal has an “important part” to play in the recovery phase of the economy, after Covid-19.

In October 2019 the UK Government announced a £55 million injection of funding, that was to be spread over 15 years.

In March, this timescale was shortened to 10 years.

The Welsh Government will match the £55 million.

It is thought that the deal could see investment of between £280 million and £400 million over the next 10-15 years, which could create 1,100 jobs.