• Swindon & Wiltshire Economy
• Thursday September 17 2026

Tidal power plans hailed as catalyst for jobs and growth

The go-ahead for exploratory studies for a Severn tidal lagoon has been hailed as a catalyst for jobs and growth on both sides of the Severn Estuary.

Cardiff Capital Region – a regional public body made up of the ten local authorities of south‑east Wales – has green-lit the exploratory studies.

The organisation coordinates strategic economic development, transport and planning across a region of about 1.5 million people, and manages a £1.2bn City Deal investment fund agreed with the UK and Welsh governments.

Although the first lagoon under study is sited in Wales – with Aberthaw in the Vale of Glamorgan identified as the preferred location – the project is explicitly designed as a cross‑border demonstration that could unlock a wider series of Severn lagoons.

CCR estimates the Aberthaw scheme could deliver around 600MW of predictable renewable electricity – enough to power roughly half a million homes – and generate about £3.5 billion in UK economic value, supporting thousands of jobs and supply‑chain opportunities across south Wales, the West of England and beyond.

For the West of England, the implications are practical and immediate.

The Severn’s tidal range – among the highest in the world – makes the estuary a natural engine for long‑term, low‑carbon power that could stabilise regional energy costs and attract energy‑intensive industries to ports and enterprise zones on the English side.

In the West of England, officials hope fabrication, installation and operations work will flow to firms on this side of the Severn, while colleges and training providers could develop new skills pipelines in marine engineering, renewables and advanced manufacturing.

Helen Godwin, Mayor of the West of England, said: “The Severn Estuary is an extraordinary natural asset and now is the time to let our tides power new jobs and growth in both England and Wales.

“Building on the Commission’s recommendations, we have worked closely with Cardiff Capital Region to identify a key Welsh location as the right project to lead with, while ensuring the unique environment of our coast remains at the heart of plans.

“Today’s investment from our Welsh neighbours is exciting news for everyone and underlines again how the immense potential of tidal energy can unlock billions for our economy, create new jobs, skills opportunities, and supply chains across the West of England, Wales, and the UK.

“We will continue working with our partners to help realise this major national clean energy opportunity, here in the natural home of new green jobs.”

CCR will commit up to £6.4m over three years, using City Deal funds, to carry out environmental studies, engineering design, modelling and commercial assessments before any decision to build.

CCR and the West of England Mayoral Combined Authority say they will now engage communities, regulators, businesses and governments on both sides of the Severn as the work develops.