New Report Calls for Major Transport Investment to Strengthen Connectivity Across Wales

A new report has warned that significant investment in roads, rail and aviation will be needed to tackle long-standing transport challenges across Wales, particularly the limited connections linking the north, mid and south of the country.

The study, titled “Getting Wales Back on Track: Improving Roads, Rail, Buses and Planes Across Wales,” was produced by Centre Think Tank and highlights weaknesses in the nation’s transport infrastructure. It argues that improving connectivity will require a combination of infrastructure projects, policy reforms and increased funding.

Concerns Over Funding and Governance

One of the report’s key recommendations is for Wales to move away from reliance on the Barnett Formula, the mechanism used to calculate the Welsh Government’s funding allocation based on public spending in England. The report suggests the formula does not adequately reflect the needs of rural areas and argues Wales should benefit from funding linked to cancelled UK transport projects, including HS2, to support its own transport improvements.

Transport funding has been a contentious issue in Welsh politics. Following the UK Government’s Spending Review last summer, Welsh ministers and members of the Senedd raised concerns about the level of rail funding allocated to Wales.

Plaid Cymru has been particularly critical, claiming the country has experienced “historic underinvestment” in rail infrastructure and calling for full control over Welsh railways to be transferred to the Senedd.

The report echoes these concerns, describing the current system of transport governance as fragmented. It recommends that greater powers over rail infrastructure, elements of bus policy and Air Passenger Duty should be devolved to Wales.

Proposals to Rebuild the Rail Network

The report also highlights opportunities to restore sections of railway lines closed during the Beeching cuts in the 1960s.

One of the most significant proposals is to reopen the railway between Aberystwyth and Carmarthen, which would reconnect mid and south Wales. Supporters argue the scheme could reduce reliance on cars and strengthen regional links, although previous studies suggested the project would deliver social benefits but limited financial returns.

A more modest proposal involves reopening Carno station on the Cambrian Line, estimated to cost around £7.5 million. The station could also include a passing loop designed to improve reliability and reduce delays along the route.

Another recommendation is the electrification of the North Wales Coast line to Holyhead, which would support plans for a new freight terminal and encourage a shift of cargo from road to rail. The project could also improve journey times and reduce emissions, though the report acknowledges the cost could reach £1–1.5 billion.

Existing Rail Investment Plans

Some rail investment is already planned. Earlier this year, the UK Government announced funding for seven new railway stations in Wales, along with a wider £14 billion pipeline of rail improvements.

The planned stations include Magor and Undy, Llanwern, Cardiff East, Newport West, Somerton, Cardiff Parkway and a station serving Deeside Industrial Park.

Other projects include:

• A £140 million redevelopment of Cardiff Central station

• £30 million in capacity improvements at a junction west of Cardiff station

• £40 million to increase train speeds between Cardiff and Severn Tunnel Junction

• Around £30 million for upgrades to the North Wales Coast Main Line

Longer-term rail projects are also outlined in Transport for Wales’ “Today, Tomorrow, Together” strategy, which includes the £2.1 billion Network North Wales programme, the Swansea Bay and West Wales Metro, and further expansion of the South Wales Metro.

Road Infrastructure Challenges

The report also focuses on road infrastructure, highlighting several major congestion and resilience issues.

One proposal is for the construction of a third crossing over the Menai Strait, which connects Anglesey to mainland Wales. Currently, the island is served by the historic Menai Suspension Bridge, which now has a 7-tonne weight limit, and the Britannia Bridge, which can be forced to close during severe weather.

The report suggests that an additional crossing could improve resilience and support trade routes between Wales and Ireland, particularly via the nearby Port of Holyhead.

However, a previously proposed £400 million bridge project was shelved by the Welsh Government during its 2023 Roads Review, which prioritised more environmentally sustainable transport solutions.

In south Wales, the report highlights congestion at the Brynglas tunnels on the M4 near Newport, where the motorway narrows from three lanes to two. Around 79,000 vehicles use this section daily, making it one of the country’s most significant bottlenecks.

The authors suggest reconsidering a previously cancelled M4 relief road, arguing that traffic congestion carries substantial economic costs. Environmental concerns had been a key reason the project was halted.

Cardiff Airport Under Scrutiny

The report also examines the future of Cardiff Airport, which is owned by the Welsh Government but continues to struggle financially. Passenger numbers remain below pre-pandemic levels and several airlines have withdrawn services in recent years.

The airport reported losses last year, although ministers have stated they expect it to return to profitability by 2029.

The report suggests the Senedd should review the airport’s long-term future, including the possibility of selling the facility if public funding proves unsustainable.

Policy Changes on Local Roads

Alongside infrastructure projects, the report recommends changes to how local road policies are managed.

In particular, it calls for limits on the Welsh Government’s ability to overrule local councils on 20mph speed limits, suggesting intervention should only occur where safety concerns are significant. It also recommends clearer signage for new speed limits to avoid confusion among drivers.

A Complex Political Debate

Many of the proposals outlined in the report are politically sensitive. Several projects, including the Menai Strait crossing and M4 relief road, have previously been cancelled or postponed due to environmental concerns and funding pressures.

Reopening railway lines also raises questions about balancing construction costs with projected passenger demand and wider social benefits.

The report contributes to an ongoing debate about how Wales should develop its transport network while balancing economic growth, environmental goals and limited public finances.

Supporters argue that improved connectivity is essential to strengthening the Welsh economy and linking communities more effectively across the country. However, achieving that vision will require difficult decisions about funding priorities and long-term infrastructure planning.