Bethan Webber, chief executive of Cwmpas, has emphasised the critical role of co-operatives and mutuals in reshaping the Welsh economy during this year's co-operatives fortnight, running until July 3. She argues that traditional economic growth often leaves communities fragile, with wealth flowing out rather than staying local.
Community Wealth Building as a New Economic Vision
Webber advocates for community wealth building, which focuses on ensuring that wealth created in a place remains there, circulating through local communities and benefiting residents. This approach does not reject foreign direct investment but complements it by strengthening local enterprise, democratic ownership, and fair work.
According to Webber, the model asks fundamental questions: Who owns businesses? Where do profits go? How are public contracts used? Are workers sharing in success? These questions are central to the co-operative movement but are relevant to all entrepreneurs, public bodies, investors, and communities.
Wales's Co-operative and Social Economy
The Co-operative and Mutual Economy 2025 report identifies 519 co-operatives in Wales with around £500m in income. Wales leads the UK in co-operative start-ups per capita. The wider social economy includes over 3,100 social businesses with a turnover of up to £5.7bn annually, employing up to 68,000 people. Notably, 84% of these businesses pay the Real Living Wage to all staff.
Webber highlights Dulas, a worker-owned co-operative in Machynlleth, as a success story. Dulas exports solar-powered vaccine refrigerators to more than 80 countries and was named SME Exporter of the Year at the Wales Business Awards in 2024. This demonstrates that co-operatives can be locally rooted and globally competitive.
Growth in Employee-Owned Businesses
Since 2020, the number of employee-owned businesses in Wales has grown from 34 to over 100. This growth is attributed to clear ambition matched with specialist support and market development. Instead of successful Welsh firms being sold to distant owners, employee ownership keeps them anchored in Wales, protecting jobs and sharing wealth.
BIC Innovation is an example where employee numbers have more than tripled since becoming employee-owned. Webber notes that Wales has a strong platform for growth but has not yet fully realised its co-operative potential.
Policy Recommendations
Webber calls for integrating community wealth building into national economic strategy. This includes specialist business support, better access to finance, stronger links between public procurement and local enterprise, and a clearer role for co-operative and employee-owned models.
She concludes: "This year's co-operatives fortnight is a moment to celebrate the businesses already showing what is possible. But it should also be a moment to think bigger. If we want growth that lasts, wealth that stays, and communities that have real power over their economic future, community wealth building must become central to how Wales thinks about prosperity."
