Chief executive of the Development Bank of Wales Giles Thorley says we need to increase the number of SME housing developers

It can be tempting, when the economic weather turns, to put the hard hat back on the hook. Far easier say to pause developments, shelve regeneration schemes, stick to ‘essential’ repairs only and wait for confidence to return.

But that is not an option for Wales. We cannot afford to hit pause on what is fundamental to our long-term prosperity. We need more and better quality homes for people to live in. We still need town centres and public buildings that embrace and enhance the community and feel like assets. And we still need the energy and infrastructure that makes new investment possible.

That’s why I’m increasingly convinced that the next chapter for Wales will be written in bricks, mortar and connectivity.

Across the UK, recent data has shown construction activity can cool quickly when sentiment weakens, particularly in private housing and commercial building, where investors, developers and lenders become more cautious.

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Yet the underlying need does not change. Housing shortages don’t disappear. Regeneration doesn’t become optional. Businesses don’t stop needing modern, energy-efficient premises. Public services don’t stop needing upgrades.

When such projects stall, the impact ripples far beyond the construction site. Construction supports an extensive supply chain, from local subcontractors to architects to manufacturers and logistics firms. It remains one of the economy’s most important drivers.

This is why synchronised investment matters and short-term fixes won’t do. Proper coordination across housing, property and energy is needed – and it must be aligned to achieve long-term outcomes.

Wales has been a pioneer in developing a long-term, strategic policy framework. The principles of that framework put communities, identity and long-term value creation at the heart of development. The Well-being of Future Generations (Wales) Act sets a global benchmark for sustainable decision-making. It directs not just what we build, but why we build it, who benefits, and what legacy it leaves.

However, this framework can only deliver when projects on the ground are also commercially viable and being delivered. That often requires public and private partners to pull in the same direction.

That is because of a stark reality: neither public finance nor private finance can deliver the scale of transformation Wales needs on its own. Public capital brings stability, strategic intent and patience. Private capital brings discipline, innovation and the ability to scale. Together, they can complement each other and make a real difference.

Why SMEs matter?

Wales faces a persistent housing supply challenge. Developers are contending with rising costs, labour shortages, land availability planning constraints and, economic uncertainty. It is no wonder completions fall short of demand.

But there’s an underlying challenge here too: the disappearance of SME housebuilders. In the late 1980s, SMEs delivered around 40% of new homes in Wales. Today, that figure has fallen to just 9%.

The large national housebuilders are essential for volume, but an over-reliance on a small number of large players comes with risks. This concentration tends to reduce flexibility, narrow the pipeline of sites, and make delivery more vulnerable to shifts in the appetite of these large players.

Smaller, locally rooted builders play a different role. They are small companies, who employ local subcontractors and operate based on local demand. They also deliver projects that make sense size-wise in Wales: from two-home infill schemes to 60-plus home developments.

After the financial crash, smaller residential builders experienced an almost complete removal of funding options, creating a major constraint on housing delivery.

At that point, we built a commercial case that Wales needed a dedicated approach and over the past decade £300m of targeted property finance has underpinned 2,400 new homes and more than 245,000 sq ft of much needed commercial space.

The lesson is clear: if Wales wants more homes, it needs more builders. They, in turn, need access to the right kind of capital, at the right point in the cycle. I also believe there is a greater good here. Property investment is often framed as a balance sheet issue. I believe it is a wellbeing and an economic issue. Good social infrastructure can reduce poverty, improve health and support educational attainment; modern commercial space helps firms grow, recruit and retain talent. Mixed-use schemes can become catalysts for long-term community wealth creation, keeping spending power circulating locally.

We’re already seeing demand rise. Our property investment grew by 27% last year, a signal, not just of appetite, but of need. Projects like Parc Eirin in Rhondda Cynon Taf and innovative eco-developments such as Maes y Teirw in Carmarthenshire show what’s possible when funding accelerates delivery and helps raise standards.

And those schemes also underline something else: delivery depends on partnership. Developers, lenders, local authorities and government all have a role. Without joined-up action, sites remain locked, costs rise, and viable projects become unviable.Wales doesn’t lack ambition. It doesn’t lack policy frameworks. It doesn’t even lack opportunity.

What we need now is more delivery, at greater scale, upping the pace, grounded in place, backed by partnership, and financed in a way that supports long-term prosperity.

Because building Wales’ future isn’t a slogan but a practical programme of work. And the best time to get on with it is now.

Chinese e-commerce giant JD.com has made a decisive move into the UK market with the launch of its Joybuy platform, setting up a direct challenge to Amazon by promising same-day delivery without the traditional trade-off between speed and price.

The new platform marks JD.com’s most significant expansion into Britain to date, following years of speculation about its ambitions in the market. Joybuy, which had previously been tested through a London pilot, is now rolling out more widely, offering British consumers access to a broad product range spanning electronics, groceries, gaming, household goods and everyday essentials.

The retailer is positioning Joybuy as a full-spectrum marketplace, stocking global brands such as Apple, Samsung and Sony alongside consumer staples including Heinz, Cadbury and Coca-Cola. The proposition is clear: convenience at scale, backed by logistics infrastructure designed to rival, and potentially outpace, incumbents.

At the core of the launch is JD.com’s “Double 11” delivery promise. Orders placed before 11am will be delivered by 11pm the same day, with free delivery available on orders over £29. The company said the service will initially cover more than 17 million consumers across key urban centres including Birmingham, Leicester and Nottingham, signalling a deliberate focus on high-density, high-demand regions.

This logistics-led strategy reflects JD.com’s long-established operating model in China, where it has built one of the most vertically integrated fulfilment networks in global e-commerce. Rather than relying heavily on third-party couriers, the group controls much of its supply chain, from warehousing to last-mile delivery, enabling tighter control over speed, cost and customer experience.

In the UK, that model is being replicated through JoyExpress, the company’s delivery arm, which is supported by a growing European infrastructure footprint. JD.com already operates more than 60 warehouses and depots across Europe, including key UK sites in Milton Keynes and Luton, providing the backbone for its same-day ambitions.

A spokesperson for Joybuy said the company aims to “change the way people shop online” by removing the longstanding compromise between affordability and delivery speed. “British shoppers have long had to settle for a trade-off between price and speed,” they said. “We’re here to change that.”

The expansion comes at a time when JD.com is seeking growth outside its domestic Chinese market, where consumer demand has softened and competition has intensified. The company, which has a market capitalisation of more than $40 billion, has been actively exploring international opportunities as part of a broader diversification strategy.

Its interest in the UK is not new. The group previously attempted to acquire Argos from Sainsbury’s and held discussions around a potential deal with Currys, although neither transaction materialised. The Joybuy launch represents a shift from acquisition-led expansion to organic market entry, allowing JD.com to build its presence on its own terms.

However, analysts caution that replicating its Chinese logistics model in Europe will not be straightforward. The UK’s fragmented retail landscape, regulatory environment and established competition present significant barriers to scaling quickly. Amazon, in particular, retains a dominant position, underpinned by its Prime ecosystem, extensive fulfilment network and deep customer loyalty.

Even so, JD.com’s entry introduces a new competitive dynamic into the UK e-commerce market. Its willingness to invest heavily in infrastructure and absorb delivery costs could place pressure on incumbents, particularly if consumers respond positively to faster delivery without additional fees.

The move also reflects a broader shift in online retail, where speed is increasingly becoming a key differentiator. As consumer expectations evolve, same-day delivery is moving from a premium offering to a baseline expectation in major urban markets.

JD.com’s chairman, Liu Qiangdong, has previously acknowledged that the company has faced a challenging period in recent years, describing the past five years as the least productive of his entrepreneurial career. The UK launch of Joybuy suggests a renewed push for growth, and a belief that international markets can provide the next phase of expansion.

For British consumers, the arrival of Joybuy could signal the start of a new era in e-commerce competition — one where delivery speed, pricing and platform experience are being redefined simultaneously.

Jamie Young

Jamie is Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops.

When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs to inspire the next generation of business leaders.