A Big Moment for Social Enterprise: What the 2026 Manifestos Say About Wales’ Economic Future

The next Welsh Government will play a crucial role in the development of the social enterprise sector. These businesses combine entrepreneurialism and innovation with a relentless focus on creating social value and environmental sustainability and, with the right levels of investment and support, can be an invaluable asset in our national mission to transform the Welsh economy.  

The 2025 Social Business Wales mapping report found that there are at least 3,113 social businesses in Wales, employing between 57,000 and 68,000 people and generating between £3.5bn and £5.7bn in annual turnover. This is a sector that already plays a crucial role in our economy – before we even start thinking about the real-life impact to individuals and communities. Creating inclusive work opportunities, improving access to services, delivering wellbeing activities, keeping vital assets open, making profit for community benefit – the work of the sector is diverse and filled with even more potential.  

That’s why the decisions that the next Welsh Government make are so pivotal. The manifestos that have been published over recent weeks show us where social businesses fit into their vision for Wales, and in this article we list the key opportunities presented.  

The Social Enterprise Stakeholder Group – bringing together Cwmpas, DTA Wales, Social Firms Wales, UnLtd and WCVA – has published a sector manifesto that makes six key recommendations for the next Welsh Government. These are to expand and strengthen specialist business support tailored to the specific needs of social enterprise; invest in proactive market development; continue to invest in specific funding streams; embed a community wealth building approach in procurement and commissioning; introduce a Community Right to Buy, and foster social entrepreneurship through the curriculum and post-16 education.  

Community ownership is now firmly on the agenda  

One of the strongest themes across the manifestos is growing recognition of community ownership, the role it can play in protecting valued local assets, and the need for community rights to be embedded in legislation.  

Welsh Labour commits to creating a Community Right to Buy in law to empower people to keep their special local places for community use.  

The Wales Green Party takes a similar direction, proposing through a Land Reform Act that communities would gain a right to buy key assets and buildings at risk of closure or being lost to local ownership.  

Plaid Cymru commits to legislating for a Community Right to Buy and says this should make it easier for valued local assets – including businesses like pubs, shops and cafés, as well as buildings and land – to be brought into community ownership when they come up for sale. It also links community and co-operative ownership to the future of cultural spaces and community hubs. 

The Welsh Liberal Democrats support a stronger Community Right to Buy based on the Scottish model.  

And the Welsh Conservatives propose a Community Ownership Fund to save threatened assets such as libraries, pubs, leisure centres and green spaces, alongside a right for communities to bid for ownership of threatened heritage assets and libraries. 

Community empowerment through ownership rights is no longer a fringe idea, but one that is being reflected in different ways across the political landscape. 

Community wealth building is gaining ground, and procurement seen as a tool for social and economic good  

Another clear theme is the role of procurement in shaping a fairer, more prosperous and more locally rooted economy. 

Plaid Cymru’s manifesto commits to increasing the share of Welsh public procurement spent with Wales-based suppliers from 55% to at least 70%, while also ensuring bids are assessed not only on cost, but on community impact, social value, capacity-building in Welsh businesses and local supply chain development. 

The Wales Green Party also gives this agenda significant prominence. It says procurement should actively support local businesses, SMEs, co-operatives and social enterprises, and that decisions should measure social value, community benefit, fair work and carbon reduction, not just price. It also proposes exploring a Community Wealth Building Bill to keep more money circulating in Welsh communities. 

Welsh Labour’s manifesto builds on its existing social partnership approach and highlights that it has enshrined a duty for socially responsible public procurement in law.  

The Welsh Conservatives say they would make procurement contracts more accessible, particularly to small businesses, and give priority to Welsh firms. Reform likewise prioritises local firms in procurement, while also proposing removing social value requirements from procurement legislation. 

There is a new focus on specialist support infrastructure for social enterprise  

Several manifestos also reflect the case long made by Cwmpas and partners that alternative business models need the right infrastructure if they are to grow. 

Plaid Cymru commits to providing more specialist support to create, grow and sustain new co-operative, employee-owned and social businesses as part of its ambition to build community wealth.   

The Wales Green Party commits to creating a Co-operative Development Hub to identify opportunities for co-operative and social business models and help entrepreneurs establish and scale community-focused enterprises. It also says local authorities should map social enterprises in their areas and make better use of them in public service delivery and economic development. 

Welsh Labour says it would double the number of co-operatives and community-owned businesses, building on the successful delivery of its 2021 commitment to double the number of employee-owned businesses in Wales.  

The business support infrastructure in Wales is discussed by all parties, with Plaid Cymru and the Welsh Conservatives committing to a new National Development Agency, and Welsh Labour and Reform UK committing to launching a new industrial strategy.  

There are new ideas for improving the sector’s access to finance  

The manifestos also show some recognition that communities and social businesses need access to appropriate finance if they are to own assets, grow enterprises and deliver long-term impact. 

Plaid Cymru specifically links specialist support commitment to improved access to finance through the Development Bank of Wales, and also floats the idea of a community bank as part of its approach to high streets and local economic renewal. 

The Wales Green Party proposes the full development of Banc Cambria so it can provide finance for social and environmental enterprise, and also backs a Community Land Fund to help local groups purchase sites for cultural spaces, community enterprise and creative regeneration. More broadly, it argues for investment frameworks that prioritise long-term community benefit over extractive finance. 

Social enterprise is increasingly seen as a solution across different sectors  

Another important theme is the role of social enterprise and co-operative models in practical service delivery. 

Plaid Cymru explicitly commits to supporting and expanding social enterprise and co-operative social care models. Similarly, it says it will promote co-operative solutions to challenges facing the self-employed and freelancers in the creative industries.  

The Wales Green Party similarly says it will expand local, not-for-profit and community-led provision in social care, support social enterprises and co-operatives, and reform commissioning so smaller community organisations are not squeezed out. 

Plaid, the Greens and Welsh Labour all commit to further supporting the growth of the community-led housing sector in Wales.  

The Welsh Conservatives propose establishing a social enterprise in every second school in order to promote aspiration, enterprise and entrepreneurialism.  

A Crucial Opportunity  

Ultimately, the direction of travel for the next Welsh Government will depend not only on the priorities set out by political parties, but on the choices voters make at the ballot box. This election matters because it will help determine what kind of economy Wales seeks to build over the coming years, and the value we place on community empowerment, social value, local wealth retention and democratic, mission-led business. 

For Cwmpas, and for the wider social enterprise sector, the significance of this moment is clear. Across these manifestos there are encouraging signs that social enterprise, co-operative and community-owned models are increasingly being recognised as serious policy tools for delivering economic, social and environmental change. But recognition alone is not enough. If the next Welsh Government is to unlock the full potential of the sector, it will need a clear vision for a rebalanced economy, backed by practical action: sustained specialist support, smarter procurement and commissioning, investment in market development, and a stronger framework for community ownership and community wealth building.  

The task for the next Senedd will not simply be to acknowledge the value of social businesses, but to create the conditions in which they can thrive and grow. Social business offers a model that is rooted in place, driven by purpose and capable of delivering long-term economic value. The opportunity is there – voters now get to decide which economic vision for Wales they support in the election. 

Cwmpas and the Social Enterprise Stakeholder Group are ready and eager to work with the next Welsh Government and Senedd members to ensure this invaluable sector is a catalyst for sustainability, fairness and prosperity.