Transport for Wales (TfW) is primarily funded by the Welsh Government, but in 2026, it operates under a significant "partnership funding" model with the UK Government. As a not-for-profit company wholly owned by the Welsh Ministers, TfW receives its core operational budget and capital for projects like the "South Wales Metro" directly from Cardiff. However, because the majority of the heavy rail infrastructure in Wales is still managed by Network Rail (which is a UK-wide body), major enhancements and "levelling up" projects are co-funded by the UK Department for Transport (DfT). In February 2026, a landmark "Today, Tomorrow, Together" vision was launched, outlining a £14 billion long-term investment pipeline backed by both governments. This funding covers the electrification of the Core Valley Lines, the purchase of a brand-new fleet of trains, and the development of several new stations across the country. This dual-funding approach ensures that while Wales has "local" control over its franchises and branding, it still benefits from the broader UK national treasury for large-scale engineering and infrastructure works.