The Royal Institution of Chartered Surveyors has issued a compelling call to action ahead of May's Senedd election, urging the next Welsh Government to strategically leverage both the built and natural environment to stimulate economic growth and bolster business confidence across the nation.
A Multi-Billion Pound Economic Contributor
In its newly published election manifesto, RICS Wales highlights the profound economic significance of the built environment sector. The organisation reveals that this sector contributes a substantial £17.2 billion in economic activity annually to the Welsh economy, while simultaneously supporting thousands of jobs nationwide. This underscores the critical role that construction, property, and infrastructure play as foundational pillars of Welsh prosperity.
Core Policy Priorities for Wales
The manifesto outlines several key, evidence-led priorities designed to address current pressures and unlock future potential:
- Housing Delivery Strategy: Advocating for the development of a comprehensive, cross-tenure housing strategy with clear targets and ambitious development goals.
- Planning System Reform: Calling for a truly functional planning system by embedding specialist skills in critical areas, including developer contributions and biodiversity net gain requirements.
- Leaseholder Protection: Emphasising the need to protect residential leaseholders by introducing modern, UK-aligned standards to replace the outdated legislation currently in force in Wales.
Infrastructure and Energy Transition
The document identifies urgent infrastructure needs that must be addressed to support both housing and Wales' green energy ambitions. It points to grid capacity constraints as a major barrier, not only to new housing delivery but also to any aspiration for Wales to become a global leader in renewable energy. The manifesto calls for:
- Investment in large-scale, high-standard housing retrofit programmes to improve energy efficiency.
- Fast-track upgrades to grid and energy infrastructure to unlock development and green energy projects.
Investing in Skills and Education
Recognising the sector's future needs, RICS stresses the importance of increasing investment in built and natural environment education. This includes a significant expansion of apprenticeship opportunities and upskilling programmes specifically designed to support the workforce through the energy transition and tackle persistent skills shortages.
Leadership Perspectives on Confidence and Capacity
Matt Haynes, Chair of RICS Wales, commented on the manifesto's intent: "This manifesto sets out practical, evidence-led priorities for Wales’ built and natural environment at a time when confidence and capacity are under real pressure. It focuses on what will make the greatest difference in the years ahead." He expressed a commitment to working constructively with stakeholders to translate these ambitions into tangible outcomes for communities across Wales.
Echoing this analysis, Sam Rees, Senior Public Affairs Manager at RICS, provided context on the current economic climate: "Our data shows that confidence across Wales’ built environment has become increasingly fragile. Construction activity has lost momentum; commercial, occupier and investor demand has softened." He noted that while investment in social housing has provided a welcome boost, affordability remains a significant barrier in the residential sector.
Rees concluded with an optimistic outlook for governmental action: "The next Welsh government can however make an extremely positive impact by investing in housing, infrastructure and skills. By leveraging the potential of the built environment, it can stimulate a new era of economic growth." The manifesto stands as a detailed blueprint for the incoming administration to harness a key economic sector for the benefit of the entire nation.
