Further funding for the Elan Valley Lakes Project, which aims to create a flagship visitor destination for Mid Wales, has been approved by the Growing Mid Wales Board.

Dŵr Cymru Welsh Water will receive £3.81 million to progress delivery of the full project, bringing total Growth Deal support for this element to £4.37 million.

This investment forms part of a wider package and is matched with 50 per cent investment by Dŵr Cymru.

Elan Valley Lakes Project builds on the area’s natural, cultural and heritage assets. Planned improvements include expanded visitor facilities to address peak-time demand, a new exhibition space and 'planetarium', enhanced café and viewing areas, improved accessibility and low carbon infrastructure, such as EV charging.

The project aims to create year-round tourism opportunities, increase visitor spend, support jobs and apprenticeships and strengthen the regional economy, while also supporting Welsh Water’s journey towards net zero.

In March 2025, the project received £565,500 of Growth Deal funding for initial work on key elements, including plans for the expansion of the Celtic rainforest and the design of a new visitor centre, marking the transition from planning into implementation.

Growth Deal funding will be ringfenced for the approved capital project and subject to standard monitoring and reporting procedures. The funding enables the project to proceed to the next stage, following a business case and assurance process.

Growing Mid Wales Board co-chairs Councillors Bryan Davies and Jake Berriman, leaders of Ceredigion and Powys County Councils, respectively, said they are pleased to see the project progress into delivery.

“This investment reflects our shared ambition to unlock the potential of Mid Wales, supporting sustainable tourism, creating jobs and showcasing the region’s unique strengths,” they added.

Kit Wilson, Dŵr Cymru chief customer officer, added: "This investment marks an important milestone for the Elan Valley, Mid Wales and Welsh Water.

“By expanding facilities, creating new educational and community spaces, improving accessibility and enhancing the overall visitor experience, the project will help ensure that future generations can continue to enjoy and learn from this unique environment.

“It will also provide a valuable boost to the local economy, supporting sustainable tourism and growth while protecting and celebrating one of Wales’ most iconic landscapes.”

Cabinet Minister for Enterprise, Connectivity and Energy, Adam Price MS, said: “We are committed to delivering economic prosperity in all parts of Wales and creating sustainable, quality jobs.

“Support of £55m has been made available from the previous Welsh Government to the Mid Wales Growth Deal. As a newly elected government, we will work to ensure this investment delivers tangible results for the region.”

Wales Office Minister Anna McMorrin MP added: “Supporting economic growth in every part of Wales is a key priority for the UK Government. This investment in the Elan Valley Lakes Project is delivering a much-improved experience for visitors, boosting tourism businesses and creating new jobs and opportunities for local people.”

The Mid Wales Growth Deal provides capital funding to support regionally significant economic infrastructure that stimulates growth.