£20 Million Investment to support 270 Jobs in Port Talbot following Tata Steel cuts
£20 Million Investment to support 270 Jobs in Port Talbot following Tata Steel cuts
Port Talbot is set to benefit from a major £21.2 million investment in regeneration projects, expected to support over 270 jobs and generate significant economic impact in the region.
The funding—set to be approved today by the Tata Steel / Port Talbot Transition Board—marks the latest phase of support for the town as it navigates the transition to greener steelmaking.
The funding will back three major projects, projected to deliver £119 million in Gross Value Added (GVA) to the local economy, and create additional construction jobs in the process.
This comes less than a year since the blast furnaces at Tata Steel’s site in Port Talbot were switched off for the final time.
As part of a plan to move to greener steelmaking in South Wales, the current blast furnaces will be replaced by Electric Arc Furnaces, ending virgin steelmaking in Port Talbot.
The move has been backed by £500 million in UK Government investment, but the transition will still see thousands of jobs being lost from the site.
Advanced manufacturing hub to anchor innovation district
A significant share of the funding—£12.5 million—will support the creation of an Advanced Manufacturing Production Facility (AMPF) and a National Net Zero Skills Centre of Excellence at Harbourside, Port Talbot. The £35 million development, which also receives support from the Swansea Bay City Deal, aims to become a regional hub for advanced manufacturing and low-carbon skills.
The AMPF will be a cornerstone of a planned Innovation District that includes the SWITCH decarbonisation hub and a future Innovation Park. Together, these initiatives are expected to help upskill the workforce for high-growth sectors such as renewable energy, Floating Offshore Wind (FLOW), and developments linked to the Celtic Freeport.
The Harbourside project is forecast to support 170 permanent jobs, engage 150 companies, and contribute £89.1 million in GVA. The construction phase is also expected to generate further employment opportunities.
Revitalising local business infrastructure
The remaining £8.7 million will fund the redevelopment of two key commercial sites: the Metal Box facility in Briton Ferry and the Sandfields Business Centre in Port Talbot.
The upgrades aim to convert and expand existing buildings into modern business accommodation, helping start-ups and growing firms find the space they need in a market where demand has outstripped supply. The projects—receiving £6.9 million and £1.8 million respectively—are estimated to support 101 jobs and deliver £29.9 million in GVA by 2035.
Part of wider regeneration strategy
This latest investment brings the total funding released by the Tata Steel / Port Talbot Transition Board to more than £70 million since August 2024. Chaired by Welsh Secretary Jo Stevens, the board includes representatives from the UK and Welsh Governments, local authorities, unions, and the business community.
The funding supports both immediate recovery and long-term regeneration as Tata Steel moves forward with plans to build an electric arc furnace in Port Talbot, part of a wider £2.5 billion UK Government initiative to decarbonise the steel industry.
Leaders on long-term vision
Secretary of State for Wales, Jo Stevens, said: “We said we would back the steelworkers of Port Talbot, their families and businesses dependent on Tata Steel.
“This latest investment means more than £70 million has been announced by the Transition Board in just nine months, delivering on our promise to the community.
“The plans for the Celtic Freeport, development of floating offshore wind, preservation of steelmaking in the town and significant funding for regeneration all mean there is a bright future for Port Talbot.”
Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans MS, said: “We remain committed to ensuring those who have been impacted by the Tata transition, including the workforce, supply chain and local community are supported not only in the short term but well into the future.
“I am pleased this latest investment of Tata Transition funding will complement City Deal funding and unlock valuable job opportunities, particularly those linked to renewable energy and high value manufacturing.”
Neath Port Talbot Council Leader, Cllr Steve Hunt, said: “As we work closely together in meeting the challenges of decarbonisation, it is vital that we also support local people and businesses to maximise the opportunities it offers.
“The investment announced today will provide a significant boost to our ongoing work with partners to promote economic growth and to provide people with the skills needed for the industries of the future.”
Further announcements on growth and regeneration projects are expected in the coming months, with the board committed to ensuring the Port Talbot community continues to benefit from the UK’s green industrial transition.
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