16th March 2026
A major funding agreement has been announced by the Welsh Government for the first 12 months of the five-year Regional Transport Plan which includes the long-term development of local transport infrastructure within Cardiff Capital Region (CCR).The first year of funding amounts to £48.5m via the Welsh Government’s Regional Transport Fund.
This funding agreement is a major component in CCR’s stated transport vision for the region, to provide ‘an efficient, affordable and low carbon transport network that enhances quality of life for our people and creates the conditions for shared prosperity across Cardiff Capital Region’.
2026 sees major schemes starting in the region, including: Newport Road in Cardiff, which focuses on bus and active travel; Caerphilly Interchange, which upgrades the existing structure for rail and bus travel and, Cynon Gateway Link Road, just off the Heads of the Valleys road, which is being part funded by the Local Authority in Rhondda Cynon Taf.
Within the annual Regional Transport Fund allocation, further provisions of regional funds will also be available to all South East Wales local authorities across specific modes, such as active travel. Likewise, there will be the opportunity to bring forward schemes for funding in future years, allowing local authorities the opportunity to address emerging priorities.
In addition, there are significant road resilience improvements, development & delivery of sustainable transport projects including active travel and bus priority measures, road safety upgrades and also education, training and behaviour change programmes being carried out across the region.
Commenting on the funding, Cllr Andrew Morgan OBE, Leader of Rhondda Cynon Taf County Borough Council and CCR Chair of the Regional Transport Sub-Committee said:
“In its first year of funding, this landmark agreement will see major transport schemes and upgrades developed for delivery within the five years’ plan period. The successful collaboration between the Welsh Government, Transport for Wales, the region’s Local Authorities and Cardiff Capital Region will allow this programme to improve the lives of our local population, business community and visitors to the region.”
Kellie Beirne, CCR’s Chief Executive said:
“Cardiff Capital Region has a track record of delivering infrastructure projects, working successfully with partners such as Welsh Government and Transport for Wales, among others. This new funding will benefit local communities and our regional businesses and plays its part in our stated aims of making the region stronger, fairer and greener. It also demonstrates the value of CCR’s focused and integrated approach to regional transport planning that is needed to face the challenges of the decades to come”.
The Cabinet Secretary for Transport and North Wales, Ken Skates, said:
“I am delighted to confirm nearly £50m of funding, as part of the Regional Transport Fund, to councils across south east Wales. This is a significant milestone for the region’s transport network as this money will directly benefit communities across all local authority areas, delivering real improvements to people’s daily lives.
“The schemes being funded reflect the priorities agreed in partnership between local authorities, Cardiff Capital Region, Transport for Wales and the Welsh Government. This collaboration will help deliver the connected, sustainable and affordable transport system that the people of south east Wales deserve.
“From a new bus and rail interchange in Caerphilly to road improvements in Aberbeeg; I’m proud that this investment will strengthen the economy and make life easier for people across the region.”
