£3.81 million boost for major tourism and regeneration project

Mark Mansfield

A major tourism and regeneration project designed to create a flagship visitor attraction in Mid Wales has secured a further £3.81 million in public funding.

The investment will support the next phase of development at the Elan Valley Lakes Project, with the aim of transforming the area into a year-round destination while boosting the regional economy.

The funding, approved by the Growing Mid Wales Board, will go to Dŵr Cymru Welsh Water and brings total Growth Deal support for this stage of the scheme to £4.37 million.

The contribution forms part of a wider investment package, matched by Dŵr Cymru, which is contributing a further 50% towards delivery.

The project seeks to build on the landscape’s existing natural, cultural and heritage appeal through a range of improvements intended to attract more visitors and extend stays.

Plans include expanded visitor facilities to ease peak-time pressure, a new exhibition space and planetarium, upgraded café and viewing areas, improved accessibility and low-carbon infrastructure including electric vehicle charging.

The ambition is to increase visitor spending, create jobs and apprenticeships and strengthen the wider Mid Wales economy while supporting Welsh Water’s net zero goals.

The latest funding follows an earlier allocation of £565,500 in March 2025 to support preparatory work, including plans to expand Celtic rainforest habitat and develop a new visitor centre.

The funding approval follows completion of business case and assurance processes and will now allow the scheme to move further into delivery.

Growing Mid Wales Board co-chairs Councillors Bryan Davies and Jake Berriman, leaders of Ceredigion and Powys councils respectively, said they welcomed the project reaching the next stage.

“This investment reflects our shared ambition to unlock the potential of Mid Wales, supporting sustainable tourism, creating jobs and showcasing the region’s unique strengths,” they said.

Kit Wilson, Dŵr Cymru’s chief customer officer, described the funding as a major step for both the area and the wider region.

“This investment marks an important milestone for the Elan Valley, Mid Wales and Welsh Water.

“By expanding facilities, creating new educational and community spaces, improving accessibility and enhancing the overall visitor experience, the project will help ensure that future generations can continue to enjoy and learn from this unique environment.

“It will also provide a valuable boost to the local economy, supporting sustainable tourism and growth while protecting and celebrating one of Wales’ most iconic landscapes.”

Economic benefits

Cabinet Minister for Enterprise, Connectivity and Energy Adam Price said the new Welsh Government wanted investment to deliver economic benefits across Wales.

“We are committed to delivering economic prosperity in all parts of Wales and creating sustainable, quality jobs.

“Support of £55m has been made available from the previous Welsh Government to the Mid Wales Growth Deal. As a newly elected government, we will work to ensure this investment delivers tangible results for the region.”

Wales Office Minister Anna McMorrin said supporting growth in all parts of Wales remained a priority for the UK Government.

She said the investment would improve the visitor offer while creating opportunities for local communities.

The Mid Wales Growth Deal is backed by a combined £110 million commitment from the Welsh and UK governments and aims to unlock further private and public investment across the region.