Timber Business Investment Scheme (TBIS) evaluation

Main findings

• Alignment with the Welsh Government’s policy objectives was mixed. There was good alignment between TBIS and broader policy objectives. For instance, there was strong alignment with several of the Woodlands for Wales strategic targets regarding developing greater sustainable management of woodlands but weaker alignment with woodland creation which was a primary objective.
• Beneficiaries had a mixed response to the effectiveness of the expression of interest, application stage and appraisal process, with relatively similar proportions of satisfaction and dissatisfaction. The application process was found to be particularly complex with a third of beneficiaries hiring a consultant which raises questions about fairness of the scheme. The appraisal process was deemed effective however favoured larger business applicants due to the Value for Money aspect.
• The effectiveness of engagement with beneficiaries and potential applicants was limited due to constraints on support available in the application stage. The claims and monitoring processes were overall satisfactory however there were issues in relation to time delays, bureaucracy, and lack of flexibility.
• 71% of the £9 million budget was successfully claimed. While demand was high, a combination of internal and external issues led to attrition in the amount claimed.
• TBIS supported 74% of it’s target number of operations however it performed well against all other KPI targets. Targets were noted as modest by the evaluators.
• The evidence suggests that the scheme has had an impact with regard to improving the capabilities of the timber sector in Wales. Most beneficiaries believe that they achieved what they had set out to achieve. In situ Welsh Government inspections support this claim.
• The economic impact assessment estimated that TBIS created or safeguarded 71 jobs in total, equivalent to ca. £110k in investment for each job created or safeguarded, although this estimate is limited by the small sample size and other constraints within the methodology.
• Turnover data suggests that TBIS generated growth for beneficiaries, an estimated £2.5m in net additional Gross Value Added. Beyond this, there is strong future potential for further economic returns, particularly when considering that 30% of projects were still active at the time of survey. Many beneficiaries felt that it would take more time to see the economic impact.