The Welsh Government has finally given the green light to the major Cardiff Parkway train station project in St Mellons, east of Cardiff. The long-awaited decision comes after more than two years of waiting for approval from the Cardiff Bay administration. The project includes a new mainline train station and a 900,000 sq ft integrated business park. The approval was made by First Minister Eluned Morgan, aligning with the government’s objective of building a stronger and greener Welsh economy.
Welsh Government Planning and Environment Decision Wales (PEDW) recommended the approval of the project following two public hearings. In her approval letter, First Minister Morgan emphasised the importance of granting planning permission to support the Welsh Ministers’ well-being objectives. The project, which had secured planning approval from Cardiff Council almost three years ago, aims to promote fair work, sustainability, and the growth of industries and services essential for a stronger and greener economy.
The Cardiff Parkway Development company, primarily owned by financial giant Investec, leads the project, with other investors including the Roberts family and the Welsh Government holding a minority 10% stake. The anticipated cost of the four-platform station, initially estimated at £120 million, may have increased due to inflation and delays in obtaining planning permission. Following the approval, a new funding assessment will be conducted by the Cardiff Parkway Development.
The project is expected to create around 6,000 new jobs, according to an assessment by property advisory firm Savills. The business park element of the Cardiff Parkway project could potentially bring an annual economic boost of up to £265 million to the Cardiff Capital Region and a total of £5 billion over a 20-year period. The investment is also seen as a means to attract more inward investment to Wales and support the local economy.
Engineering giant Rolls-Royce has expressed interest in the site due to its excellent public transport links, including the new mainline train station. The availability of such infrastructure could pave the way for significant investments that would generate high-skilled job opportunities. The project’s potential impact on the regional economy has garnered unanimous cross-party support from Cardiff councillors and is seen as a positive step towards economic growth and job creation.
The private sector funding model for the project is based on Transport for Wales leasing the train station, using car parking income to secure long-term private sector borrowing. Any identified financial gaps may require intervention from the UK Government, as rail infrastructure falls outside devolved powers. With the project set to move forward, stakeholders are optimistic about its ability to drive economic growth, create employment opportunities, and enhance Wales’ position in attracting investments.
In conclusion, the approval of the Cardiff Parkway train station project marks a significant milestone in enhancing transportation infrastructure and stimulating economic development in the region. With the potential to create thousands of jobs, boost the local economy, and attract investments, the project is poised to contribute to Wales’ sustainable growth and prosperity.