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Chancellor to visit coal tip site in Wales to see the work being done to protect families and businesses from disused coal tips.
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UK Government and Welsh Government work hand in hand to secure coal tip sites, with more than 130 sites benefiting from funding this year.
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Funding for the Welsh Government of over £22 billion per year agreed between 2026-27 and 2028-29 as part of this year’s Spending Review, including an additional £5 billion for resource and capital.
Disused coal tips remain a legacy of Wales’ coal industry, and present severe risks for Welsh communities from landslides or flooding. Just last November, a disused coal tip in Cwmtillery, Blaenau Gwent, partially collapsed, forcing around 40 homes and families to be evacuated.
The £118 million provided at the Spending Review by the Chancellor to protect Welsh communities comes in addition to £25 million from last year’s Autumn Budget, amounting to £143 million to deliver the essential funding to protect existing homes whilst enabling new areas of land to be secured for future house building by the Welsh Government. When combined with funding from the Welsh Government, £220 million has now been invested to make coal tips in Wales safe.
Chancellor of the Exchequer, Rachel Reeves said:
I know the scars that coal tip disasters have left on Welsh communities. This £143 million investment will protect families and communities from the risks posed by disused coal tips, whilst opening up sites to build new homes for hard-working Welsh families.
These sites need to be safe, and this funding demonstrates how we are delivering our Plan for Change, putting the safety of working people first and supporting economic growth.
Welsh Secretary, Jo Stevens said:
Ensuring coal tips across Wales remain safe is of the upmost importance. We want to ensure that communities who are close to coal tips can be confident that their homes and businesses are properly protected.
This £118 million is in addition to £25 million which has already been provided by the UK Government and is an example of how two governments working in partnership are delivering for the people of Wales.
These areas previously may not have been in scope for new homes due to the presence of these coal tips but by securing tips and minimising the risk of their collapse, new homes could now be built and can deliver for working families. These new homes will provide the critical infrastructure that underpins economic growth, as this investment today drives forward future productivity and higher living standards.
The Spending Review in June also delivered a record investment into Wales, which is an integral part of the UK Government’s plans to unlock growth across the whole of the UK. The Welsh economy is already worth £93 billion per year.
The Spending Review delivered at least £445 million to enhance rail across Wales, including at Padeswood on the Borderlands Line and through upgrading the Core Valley Lines, as part of the 10-year Infrastructure Strategy. The UK Government funding also includes providing £48 million over four years to the Welsh Government to work with them to upgrade the Core Valley Lines.
Through the Plan for Change the UK Government is investing in Wales’s economic potential and unique contribution to the UK, including across the clean energy of its natural resources. Up to £80 million was also confirmed as port investment to support floating offshore wind deployment in Port Talbot, subject to final due diligence.
Welsh Government Finance Secretary, Mark Drakeford said:
We welcome the extra investment from the UK Government for this vital work to protect communities living with the legacy of our industrial past. This builds uponprevious years of Welsh Government funding and brings combined Welsh and UK Government funding to £220 million. We have long made the case for fair funding to address the impact of coal tips, protect homes, businesses and create new economic opportunities.
Nick Rolfe, Regional Director, Wales, Walters UK said:
The Walters Group is proud to be a key partner in this important work to secure, improve, and make safe disused coal tips across Wales. This significant investment from the UK Government, working alongside the Welsh Government and here at Dyffryn Rhondda with Neath Port Talbot County Borough Council, shows a strong commitment to protecting our communities and dealing with the legacy of our industrial past.
As a proud Welsh company with a long history of working in these communities on environmental and regeneration projects, we understand how important this work is. The funding is not only crucial for keeping our environment safe and protected for future generations but also for giving local people peace of mind and confidence in the future of this area for the community and visitors that make use of the active travel routes that run the length of this project.
Further information:
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The Spending Review delivered a record settlement for Welsh public services, with the Welsh Government’s largest settlement, in real terms, since devolution in 1998.
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The Welsh Government is receiving £22.4 billion per year on average between 2026-27 and 2028-29, including an additional:
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£1.6 billion per year on average through the operation of the Barnett formula, with £1.4 billion resource between 2026-27 and 2028-29 and £0.2 billion capital between 2026-27 and 2029-30.
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£444 million targeted funding between 2026-27 and 2029-30, with £44 million resource and £400 million capital, including for essential work to keep coal tips maintained and safe, City and Growth Deals and enhancements to the Core Valley Lines.
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This means the Welsh Government will continue to get over 20% more funding per head than the equivalent UK Government spending in the rest of the UK. This reflects the differing needs of Wales.
