Velindre University NHS Trust agreed a long-term contract with private consortium, ACORN, to design, build, finance and maintain the new Velindre Cancer Centre (nVCC) in Whitchurch, Cardiff in March 2024.

Auditor general, Adrian Crompton, said: ‘While I recognise there are those who remain opposed to the project, the processes followed by the trust and the Welsh Government during the period we examined have, overall, provided a sound enough basis for those decisions.'

To date, the nVCC is the only NHS project to use the Welsh Government's Mutual Investment Model.

Crompton said the project's £321m expected production costs appeared ‘reasonable' and noted further costs were predicted to be at least £765m over 25 years.

Audit Wales added continuing with the current centre would have cost at least £600m over 25 years without any of the nVCC's additional benefits.

Velindre University NHS Trust interim chief executive officer, Carl James, said: ‘The findings of this Audit Wales report provide important independent assurance about the way in which decisions on the new Velindre Cancer Centre have been taken.

‘As a board, we have been clear about our responsibility to ensure strong governance, transparency and scrutiny at every stage of this complex and long-term project. The report recognises that appropriate arrangements were in place to support decision-making and that these decisions were informed by sound advice, challenge and due process.'

The nVCC is expected to open in spring 2027.