Plans for two freeports in Wales is a “double boost” for the Welsh economy, business organisations have said. On Wednesday evening, the UK and Welsh governments announced that two freeports had been agreed for Wales, despite initially focusing on approval for only one freeport.
The two freeports will be located in the Port of Holyhead in north Wales and a multi-site bid (the Celtic Freeport) covering the Port of Milford Haven and Port Talbot in south-west Wales. Both will receive £26m of seed funding each from the UK Government and benefit from simplified customs procedures, relief on customs duties, tax benefits, and development flexibility.
They have the potential to create 20,000 new jobs and secure combined private and public sector investment of £5bn by 2030. The Welsh freeports will also promote fair work opportunities and prioritise environmental sustainability and the climate emergency, at the insistence of the Welsh Government.
Read more: Coffee shop chain opens seventh outlet in Wales' tallest office building
Director of CBI Wales Ian Price said the announcement of two freeports is a “double boost for the economies and communities in both north and south Wales”.
“Increasing global inward investment will make a significant difference to Milford Haven, Port Talbot and Anglesey. It means local businesses can better scale-up supply chains, as well as retraining and upskilling workers from existing industries for the renewables sector,” he said.
“By working together, the Welsh and UK governments can provide a competitive package of targeted support to draw in world leading firms, which will drive up regional employment in resilient, future focused industries.
Mr Price added: “All three areas are geographically well-placed to capitalise on the Crown Estate’s new licences for Celtic Sea floating offshore wind farm projects. The Anglesey Freeport will also be of huge benefit to businesses in north Wales and north west England.”
Ben Francis, FSB Wales policy chair, said two freeports was “excellent news” for the communities and businesses within those new freeport zones.
“These are two distinct and different developments which offer significant opportunities for growing trade, developing innovation and driving technologies which will contribute to Wales’ net zero mission,” he said.
“To ensure that we realise the full benefit of these developments, it’s important that from the outset, the partnerships developed to deliver the freeports look at innovative and unique ways of growing local SME supply chains to help develop the capability and skills of local business and the economy. We will look to work constructively as part of that community of partners in both Anglesey and West Wales.
Mr Francis also praised the collaboration between Westminster and the Cardiff Bay administration on the freeports. He said: “It is a good demonstration of shared purpose and commitment and the constructive joint-working of ministers and civil servants on this announcement is very welcome
“It’s important now that we move fast to grow the local partnerships and develop the support to make these new Freeports for Wales a success which deliver growth and prosperity for communities and the wider Welsh economy.”
On being awarded freeport status, chair of the Celtic Freeport consortium Roger Maggs MBE said the future was exciting and he hoped Wales’ two freeports would deliver for the country.
“The Celtic Freeport has catalysed major business interest, local communities, trade unions and academia in using Wales' largest industrial base as the launchpad for developing new technologies and the renewable energy manufacturing opportunities of tomorrow.
“This has the potential to unlock £5.5 billion of private and public investment for Wales and create new training and innovation facilities, factories and expanded green energy ports, as well as new alternative fuel production complexes.
“Our green investment and innovation corridor will support the creation of 16,000 green jobs, which will not just be good news for Milford Haven, Pembroke Dock and Neath Port Talbot, but also Bridgend, Carmarthen, Swansea, The Valleys and many other communities across Wales.”
The Celtic freeport consortium comprises Associated British Ports (ABP), Neath Port Talbot Council, Pembrokeshire County Council and the Port of Milford Haven. The bid’s strategically located tax and customs sites span almost 250 hectares in Pembrokeshire and Neath Port Talbot.
Chief executive of the Port of Milford Haven Tom Sawyer said: “As the UK’s energy port, the Port of Milford Haven welcomes this fantastic news which allows us to build on the significant multi-million pound investment we’ve already made in the renewables sector at Pembroke Port. But what really excites us about this announcement today is the positive impact it’s going to have on our coastal communities. Securing the jobs of today and creating fantastic opportunities for future generations.”
Andrew Harston, ABP regional director said: “Associated British Ports is absolutely delighted that our Celtic Freeport bid has been successful. Floating offshore wind in the Celtic Sea is a once in a lifetime opportunity for Wales, and the scale needed is immense.
“ABP stands ready to invest £500 million in our port at Port Talbot to ensure first mover advantage to capture this global market. We want our ports to act as a base for FLOW manufacturing, maintenance and operations. And it’s not just about FLOW, it’s about sustainable fuels and hydrogen too.”
David Simpson, leader of Pembrokeshire County Council said: “The Celtic Freeport will unleash the full green industrial potential of Wales, accelerating the decarbonisation of our most carbon intensive industries and bringing new opportunities to our communities, major international investment and thousands of high skilled jobs to the region.”
Will Bramble CBE, chief executive of Pembrokeshire County Council, said: “The Celtic Freeport will produce significant investment in the region, particularly the focused areas of upskilling our workforce and ultimately creating job opportunities here in south west Wales. Fundamentally this will now put us at the leading edge of the green industrial revolution.”
Cllr Steve Hunt, leader of Neath Port Talbot Council, said: “The announcement is an absolute game changer for Neath Port Talbot and for Wales. It will transform the fortunes of people in all our communities. It puts us at the forefront of the world’s green energy revolution and our residents will soon be working in the industry of the future, learning the skills for securing green, well paid jobs.
Read more:
