Calls for New Welsh Development Agency to Revitalize Business Support System
Calls for New Welsh Development Agency to Revitalize Business

Wil Williams, co-founder of LearnerMetrics and former chief executive of the Alacrity Foundation, has issued a compelling argument for the establishment of a new Welsh Development Agency. He asserts that Wales urgently requires a business support system characterized by transparency, honesty, radicalism, decisiveness, and boldness—qualities he believes have been conspicuously absent since the original WDA was dismantled in 2006.

The Legacy of the WDA and Its Abolition

When the Welsh Development Agency was scrapped nearly two decades ago, the move was framed as a modernization effort, emphasizing alignment, accountability, and efficiency. However, Williams contends that the decision was primarily driven by ideology and dogma, with outcomes falling far short of the initial rhetoric. The WDA, despite its imperfections, understood the operational discipline and cultural mindset necessary for economic development, featuring clear policy-to-delivery pathways, strong regional presence, and the authority to make swift decisions.

The Current Business Support Landscape

Since the WDA's functions were absorbed into the Welsh Government, the business support system has transformed into a fragmented maze. While it appears active and busy—with initiatives like Business Wales, the Development Bank of Wales, City Deals, and various local authority programs—it has consistently failed to help firms grow effectively. Williams notes that firms experience this as a confusing array of entry points, repeated diagnostics, and inconsistent priorities, leading to occasional support but rarely sustained engagement.

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The deeper issue, according to Williams, is cultural rather than structural. The post-2006 environment rewards careful administration and activity metrics, such as programs delivered and funds allocated, rather than tangible economic outcomes like firm growth, exports, investment, and employment. This misalignment has resulted in a paucity of medium-sized firms in Wales, low productivity, and persistent regional disparities, particularly between Cardiff and other areas.

The Need for Radical Reform

With an upcoming Senedd Election, Williams sees an opportunity for a new administration to address these problems properly. He warns against incremental changes, which he argues only preserve a failing model. Instead, he advocates for a return to first principles: businesses need a coherent system with a single front door, regional teams empowered to act, finance aligned with scaling realities, and integrated support for exports, innovation, and capability development.

Proposing a WDA 2.0

Williams suggests recreating a delivery-focused entity, which could be called WDA 2.0, without reinventing the wheel. This would require discipline, fewer programs, clearer missions, harder success measures, and a willingness to discontinue ineffective initiatives. Most importantly, it demands a cultural shift from managing activity to driving outcomes. This new agency should be operationally separate from government but accountable to it, holding authority over key economic levers like Business Wales, the Development Bank of Wales, the £547m Local Growth Fund for Wales, and strategic assets.

He emphasizes that such reform requires political will and tolerance for decisions that may upset those invested in the current system. If the next administration chooses caution, the business support landscape will remain busy but ineffective. However, if it acts with clarity and conviction, Wales could see a revitalized approach that fosters business creation, survival, and growth, ultimately addressing the nation's productivity challenges and economic disparities.

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