**Cardiff Set for Major Economic Boost as Thousands of Civil Service Jobs Relocate from London**
Cardiff is poised to receive a significant economic uplift as the UK Government rolls out plans to relocate thousands of civil service positions from London to various regional centres. The Welsh capital, alongside a dozen other major UK cities, will benefit collectively from an anticipated £729 million in wider economic enhancements, stemming from this landmark decision aimed at decentralising government operations.
This initiative marks a decisive shift in government policy, as civil servants moving to these regional bases—Cardiff among them—will be expected to spend three days a week at their office locations. The move is part of a sustained effort to bring government employment closer to communities throughout the UK, with a core focus on promoting local development and improving public sector engagement at a grassroots level.
The planned redistribution includes other notable locations such as Aberdeen, Belfast, Birmingham, Glasgow, Newcastle and Tyneside, Leeds, Sheffield, and York, each identified as key beneficiaries in this nationwide change. This move comes in response to a broader government strategy to reduce its London-based workforce by approximately 12,000 roles and close 11 central London offices, a cost-saving endeavour predicted to save around £94 million each year by 2032.
In addition, the government’s new approach facilitates clear career pathways for talented school leavers and university graduates outside of the capital. This includes a commitment to ensure half of all senior UK-based civil service posts are held by officials based outside of London by the beginning of the next decade, a move designed to open up progression opportunities and tackle the traditional London-centric nature of UK government departments.
Commenting on these sweeping changes, Pat McFadden, Chancellor of the Duchy of Lancaster, emphasised the government’s resolve to ensure its decision making is more representative of communities across the nation. “Taking more decision-making out of Whitehall and relocating it closer to people will not only save taxpayers’ money but make government more responsive and reflective of the diverse regions it serves,” he said. McFadden also highlighted the broader intent to reform the civil service, making it simpler for talented individuals to join and thrive in the sector from any location across the country.
Welsh Secretary Jo Stevens welcomed the announcement, hailing it as a major opportunity for Wales to shape central government policy influence. She noted the plan’s potential to build on the existing UK Government presence in Wales while fostering new career opportunities, economic growth, and pathways for Welsh workers to access high-quality roles.
Currently, Cardiff hosts more than 9,000 UK Government civil service positions and Wales altogether counts approximately 31,500 such jobs. As the scheme moves forward, individual government departments are set to prepare and submit detailed plans outlining how many roles will be relocated to each of the 13 cities, subject to approval during the upcoming three-year public spending review.
In Cardiff, local authorities have already begun exploring ways to maximise the benefits of this relocation. Cardiff Council is developing plans for a major public sector campus in Cardiff Bay, which is part of the wider Atlantic Wharf development. The proposal envisions up to 500,000 square feet of prime office space, including a new council headquarters and the ambition to reshape Cardiff as a northern hub for government activity outside London. The project dovetails with the council’s ‘More and Different’ civil service jobs and investment campaign.
The news was warmly received by council leader Huw Thomas, who described it as a “significant milestone” for the city’s strategic ambitions. He suggested that the expected civil service hub would both generate high-quality employment opportunities and enhance Cardiff’s reputation as a key destination for government and public sector investment.
Russell Goodway, Cardiff Council’s cabinet member for investment and development, further noted the alignment between the relocation plan and the local authority’s focus on economic growth. “This commitment by central government fits perfectly with our own development goals for Cardiff,” Goodway remarked, citing the potential to attract further investment, foster skills in key sectors such as cyber security and fintech, and increase collaboration between local and central government.
Cardiff has previously demonstrated its success in attracting government investment, seen by the creation of the HMRC regional centre at Central Square, which consolidated around 4,000 employees into a modern, efficient workspace. The council’s ongoing efforts to diversify its economy, particularly through the ‘More and Different’ programme, reflect Cardiff’s ambition to be at the forefront of public sector innovation and growth for years to come.