Published in English and Welsh
Senedd report highlights urgent need to strengthen Wales’ foundational economy through long-term support, inclusive procurement, and bottom-up innovation
Woodknowledge Wales warmly welcomes today’s publication of The Foundational Economy report by the Senedd’s Economy, Trade and Rural Affairs Committee. This timely and insightful report offers renewed focus on the vital everyday services and enterprises that underpin life across Wales—from care and housing to local food, energy, and construction.
The report, now available in both English and Welsh, highlights the urgent need to support a more resilient, community-anchored economy, and offers ten practical recommendations for Welsh Government to turn ambition into impact.
Woodknowledge Wales contributed oral and written evidence to the inquiry, drawing on our experience in sustainable housing, procurement reform, and bottom-up innovation within the timber supply chain. Our organisation was also featured in the report as an example of a successful, high-impact initiative that emerged through foundational economy support and continues to scale with community and industry collaboration.
All background materials for this consultation can be found here via Senedd Cymru.
“If you can inspire people to do things differently, and then help them and support them to implement that, you can create fantastic, bottom-up change,” said Gary Newman, CEO, Woodknowledge Wales, in evidence to the Committee.
“This report recognises that the foundational economy is not a policy bolt-on—it’s the root system of a just and sustainable Wales. We particularly welcome the recommendations for less prescriptive funding, a stronger focus on long-term support, and government backing for alliances of the willing to lead local innovation.”
The Senedd report recommends using the dual definition of the foundational economy developed by Professor Karel Williams and the Foundational Alliance Wales, which includes both the essential local services (like care, utilities and housing) and broader wellbeing factors such as affordable essentials, social infrastructure, and climate-resilient enterprise.
Woodknowledge Wales will continue to work with local and national partners to ensure foundational economy principles are embedded into housing policy, public procurement, and the transition to a low-carbon, forest-based economy.
“The real value of this report is in its call for practical, collaborative action,” added Gary. “We must now move beyond pilot projects and build a long-term enabling framework that empowers communities, social enterprises, and SMEs to create lasting economic and environmental resilience.”
We encourage all stakeholders—across government, business, and civil society—to read the full report and reflect on how the foundational economy can be a shared driver of inclusive prosperity for Wales.
Read the full report:
The report has also been published to the inquiry pages, see the links to these pages below:
To discuss our response or collaborate on implementing foundational economy approaches in housing and timber construction, please contact us.
