Railway stations are more than just places to catch a train—they are pivotal to economic development, according to a new report by Development Economics titled "Growing Places – Railway Stations: Engines of Economic Growth." The report underscores how stations can drive inward investment, support tourism, and facilitate housing development, a message with strong relevance for Wales.
In Wales, rail travel offers a vital alternative to the motor car, especially for longer journeys and where air travel options are scarce. For rail to play a broader socioeconomic role, services must be accessible, convenient, and priced acceptably. The report illustrates this through the impact of Great Western main line stations, including Carmarthen, a medium-sized station handling nearly half-a-million passenger entries and exits annually.
Carmarthen and the Heart of Wales Line
Carmarthen, a historic town with a wide catchment area, has seen its rail passenger market grow by 21.5% above pre-Covid levels. The report also examines stations like Moreton-in-Marsh and Okehampton, which share similarities with Llandrindod and Llandovery on the Heart of Wales Line (HoWL). These stations have tourism and agriculture as their economic core, much like their Welsh counterparts.
Bristol Parkway, another case study, parallels proposals for a new station at Felindre on the Swansea District Line (SDL) north of Swansea, near M4 junction 46. The six new stations proposed between Cardiff and Newport in the Burns Report for south Wales commuter services also align with the station types highlighted in the Development Economics report.
Housing and Employment Impacts
The report projects significant future developments near stations, particularly where land is available, as at Felindre. High-frequency, reliable train services at Bristol Parkway have attracted over 4,000 houses to date, with a further 12,000 expected over the next decade. Employment generated at the 12 stations analysed in the report has reached 3,600 over the past five years, with estimates of 20,000 by 2040.
Good train services and modernised, comfortable stations will make HoWL stations and those west of Swansea more attractive to longer-distance visitors from Manchester, London, and south-east Wales. The development of 4,000 houses at Newquay is being significantly enhanced by the Mid-Cornwall Metro and an upgraded station, according to the Duchy of Cornwall, who note: "Strengthening rail connections will open up new opportunities for residents and businesses, attract investment and re-enforce Cornwall’s position as a well-connected and vibrant place to live and work."
Parallels for South Wales
This column has often identified the contribution of good transport connections to inward investment. If enhanced rail services are seen as essential in providing greener, more reliable travel choices and stronger links to jobs, education, and leisure across south-west England, then surely this also applies to Wales. While the scale at Felindre and the six stations in south-east Wales may not match the 2.25 million passengers at Bristol Parkway, the principles are the same.
Railway stations can provide faster home-to-business and business-to-business movements, particularly to city centres. Bristol Parkway provides a parallel to the proposed SDL West Wales/Swansea North Parkway station at Felindre, offering an access point from Swansea and west Wales into the Cardiff jobs market, avoiding the congested M4. Adjacent government-owned land on the old Felindre tinplate works site can provide housing (and a source of commuters) with local economic benefits through household expenditure and employment.
Future Benefits and Journey Time Savings
Felindre Parkway and the enhanced SDL route, as part of the Swansea Metro (using heavy rail), will provide a more efficient means of reaching tourism centres in Carmarthenshire and Pembrokeshire, saving up to 22 minutes in rail journey times. The arguments made in the Development Economics report show the importance of railway services and stations in economic development and consequently increased jobs and wealth.
These arguments have been put forward in the Wales in Motion column many times, particularly in relation to rural, less densely inhabited parts of Wales and the electrification of the north Wales and south Wales main lines. As Professor Stuart Cole CBE, Emeritus Professor of Transport (Economics and Policy) at the University of South Wales, notes, the evidence is clear: investing in stations and rail services is investing in Wales's economic future.
