Politics
Development Bank ‘not a guaranteed solution’
A NEW report by a think tank has assessed the potential of a public development bank for Wales to boost lending to firms and promote economic development locally.
The report by the Public Policy Institute for Wales describes evidence that ‘bank branch closures are having a negative impact on individuals and businesses in Wales, but more specific research is need to ascertain what impact bank branch closures is having on individuals and communities. Finding out the extent to which vulnerable areas are affected by bank branch closures can also help identify which specific services can be provided in the future.’
The report states: “However, even the most extensive public banking model, opening community banks would not be able to replace the branches that have been closed in Wales in recent years.”
On ways to protect banking services it comments: “A public development bank is potentially useful option, but not a guaranteed solution.”
Plaid Cymru Mid and West AM Simon Thomas said: “We need action from Governments in Westminster and Wales on bank branch closures.
“It is unacceptable that the bank network is being stripped from rural Wales. We cannot have a gap in the banking services available to rural and urban Wales.
“Plaid Cymru’s Westminster leader Liz Saville Roberts has called for a change in the law to protect the last bank in town. We are now seeing often in our communities from Llandysul to Llanidloes towns left without a bank.
“While bank branches are expensive to maintain and are used by fewer people in the past they are still an important resource. The report highlights research by the Federation of Small Businesses that bank branch closures affect small businesses in rural communities, as they are more likely to require cash purchases than in urban areas.
“High street banks have a duty to consult effectively with the local community over closures. While banks are private companies making commercial decisions, in effect access to banking is essential for modern life and participating in democracy.”
“The Labour Government in Cardiff Bay should be looking at how other financial institutions like Finance Wales and credit unions have a role to play. Other ways to protect banking services for small businesses and individual customers like developing the services provided by the Post Office will be hampered by the closure programme of successive Westminster governments of different political colours.”
The report identifies problems with lending to small and medium sized businesses, automation has made banks more geographically and operationally distant from small businesses.
Bank closures contribute to this problem according to the Federation of Small Businesses.
Mike Cherry, FSB National Chairman, said: “The rapid pace of bank branch closures across the UK presents some very real and tough challenges for small businesses. FSB members highly value the face-to-face interaction they receive in-branch, particularly when making complex financial transactions, with staff who often have a greater understanding of their business and the local economy. In addition, many of our members deal heavily in cash and cheques and need access to over-the-counter banking facilities on a regular basis.
“Small businesses are keen to embrace the opportunities of the digital economy. However, barriers towards digital inclusion, such as unreliable broadband connectivity, and a lack of confidence in using digital services creates serious challenges. These are some of the reasons which explain why the protection of in-branch banking is so important for financial inclusion.”
Large banks were three times more likely to shut a branch in Wales than in London and the south east of England, and five of the top ten areas affected by the 600 branch closures in Britain in 2015-2016 were in Wales – Powys, Denbighshire, Gwynedd, Conwy, and Carmarthenshire.
The FUW is particularly concerned as internet banking is not always an option in rural areas; many people will not have an appropriate internet connection- if they have a connection at all, and especially the elderly may not be familiar with IT and the process of doing their banking online.
Speaking earlier this summer, FUW President Glyn Roberts said: “The closure of rural banks has a detrimental effect on rural areas, as they serve not only villages and small towns but many of the neighbourhoods in surrounding areas, as well as providing employment to local people.
“Closures are a great loss to residents and local businesses, particularly the elderly or residents who are unable to travel to the nearest town. The closures will of course also affect small businesses, as they will have to travel further afield for their banking needs.
“In addition, internet banking is not always an option in rural areas; many people will not have an appropriate internet connection if they have a connection at all, and especially the elderly may not be familiar with IT and the process of doing their banking online.
“For many telephone banking is impractical, as they prefer to deal with their personal finances on a one-to-one basis and mobile banking is limited in many rural areas. It is worth considering as well that some people may not be able to get to mobile banks during the short time they are present in villages.
“With more and more rural services and businesses being closed down, we must also acknowledge that it is becoming less and less attractive for young families and indeed business owners to remain in the countryside.
“If the problem of rural depopulation is not addressed with some urgency it could have severe consequences for our rural communities and with that also our rural economy.
“It is clear that if we want to ensure that Wales develops its full potential in being a rural economic powerhouse, we must make it attractive for working families to stay and also encourage vital services like business banking to remain available in our countryside.
“The provision of acceptable broadband services is an increasingly critical part of meeting the needs of rural Wales.”
A report from the British Infrastructure Group found nearly a quarter of Welsh constituencies appear in the worst 20 constituencies in the whole of the UK for broadband speed.
Business
Haverfordwest Kings Arms pub basement flat scheme refused
A SCHEME to convert the basement of a Grade-II-listed former pub in a Pembrokeshire town’s conservation area to a flat has been refused by planners who said it would create an “oppressive living environment”.
In the application to Pembrokeshire County Council, Toyeb Ali Rahman, through agent Hayston Developments & Planning Ltd, sought permission to convert the basement of the former Kings Arms Hotel, Dew Street, Haverfordwest, the building most recently used as an Indian takeaway, to a residential flat.
A supporting statement said: “The Kings Arms Public House was a public house and was formerly a coaching house with a range of former stables to the rear which have been converted to dwellings. It is a mid-terrace property fronting the western side of Dew Street close to the town centre of Haverfordwest,” adding: “Since closure the public house has been used as a takeaway restaurant and is a mixture of flats and offices.”
It went on to say: “The application proposal only involves a small-scale conversion of a basement storage area associated with the former Kings Arms Hotel to a one bedroom residential flat. There would be no extensions with the only external alteration to the building being the replacement of a poorly detailed metal roller shutter door with conventional domestic entrance door with sidelight.
“As such, there would be no change to the impact of the building or proposal on the locality. In fact, basement area is not at all visible from the street scene along Dew Street.”
However, the scheme was refused by county planners on three points.
“The proposed change of use would result in a self-contained residential unit that fails to provide an acceptable standard of residential amenity for future occupiers. The habitable accommodation would be served by no external windows, resulting in inadequate levels of natural daylight and outlook and creating a poor-quality and oppressive living environment.
“Furthermore, insufficient information has been submitted to demonstrate that adequate ventilation, air quality, and moisture control could be achieved without harm to the character and appearance of the listed building.”
Planners also said the proposals would, through its design and use of materials, “fail to respect the special architectural and historic interest of the listed building”.
The final reason for refusal was the scheme would “result in an increase in nitrogen discharges draining into the Milford Haven Inner waterbody of the Pembrokeshire Marine Special Area of Conservation (SAC) where features are known to be in unfavourable condition due to current evidence of both chemical and biological failure,” with insufficient information to demonstrate mitigation measures which would allow the proposed development to achieve nutrient neutrality.
News
New Welsh Government plastic bans held up by internal market talks
Cardiff under pressure from industry and environmental groups as new restrictions loom
THE WELSH GOVERNMENT has confirmed that further bans on single-use plastic products will not be enacted before the end of the current Senedd term — but reiterated its commitment to phasing out what it calls “unnecessary” plastics to protect the environment.
In a written statement on Wednesday (Feb 11), Deputy First Minister and Cabinet Secretary for Climate Change and Rural Affairs Huw Irranca-Davies said planned “Phase 2” restrictions under the Environmental Protection (Single-use Plastic Products) (Wales) Act 2023 will be delayed as officials work with UK governments to secure an exemption from the United Kingdom Internal Market Act 2020 (UKIMA).
Phase 1 of the act, which came into force in October 2023, already bans a range of commonly littered items such as plastic cutlery, drinks stirrers, polystyrene cups and takeaway containers.
Under Phase 2, ministers had intended to restrict polystyrene lids, single-use plastic carrier bags and products made of oxo-degradable plastic by spring 2026 — but Mr Irranca-Davies said that timetable is no longer feasible this term due to the ongoing negotiations over internal market arrangements.
“We are committed to seeing polystyrene lids … plastic single-use carrier bags or products made of oxo-degradable plastic banned and are working to achieve that as soon as possible,” he said in the statement.
Environmental groups and campaigners have welcomed the Government’s overall ambition but stressed the urgency of moving from pledges to action.
A spokesperson for Keep Wales Tidy said the original legislation was a crucial step in tackling plastic waste, noting that plastics remain one of the most common forms of litter found on beaches and in waterways. “This move shows intent, but communities are looking for swift implementation,” the group added in a recent comment on social media about Wales’s ongoing efforts to reduce single-use plastics.
Wales was one of the first parts of the UK to target carrier bags, introducing a 5p charge for single-use plastic bags in 2011, which saw usage drop dramatically — by over 90 per cent according to government data.
Critics from parts of the business community, including hospitality and retail sectors, have previously expressed concerns over the practical impacts of rapidly changing plastic regulations, particularly where alternatives are not readily available or where internal market uncertainties create compliance challenges for firms operating across the UK.
Mr Irranca-Davies said the Welsh Government remains committed to the wider goals of its Beyond Recycling circular economy strategy — including a **zero-waste **ambition by 2050 — and to ending what he described as a “throw-away culture” that harms the environment and future generations.
He also highlighted progress already made: Wales now ranks among the world’s highest for household recycling rates, a significant rise from less than five per cent at the point of devolution.
The Government says wet wipes containing plastic will be restricted from 18 December 2026 and that it will continue working with UK partners to resolve internal market issues and push remaining bans forward.
Business
Redevelopment plans at Clunderwen dairy farm approved
PLANS for new livestock buildings at a Pembrokeshire dairy farm, aimed at “improved animal husbandry” will not lead to an increase in herd size, councillors heard.
In an application recommended for approval at the February meeting of Pembrokeshire County Council’s planning committee, Mr Roblin of Clynderwen Farm, Clunderwen, sought permission for two livestock building at the 210-hectare dairy farm of 280 cows and 235 head of young stock.
A report for members said each livestock accommodation building would have a length of 77 m, a width of 33m, an eaves height of 3.6m and a ridge height of 8.9m.
Both buildings would be parallel to each other and would cover a footprint of 5,082sqm (2,541sqm each). The proposal includes a total of 308 cubicles, loafing and feed areas, with a central feed passage in the middle.
It said the buildings at the site, some 200 metres from the nearby Redhill school and just over a kilometre from Clunderwen, would sit a little lower than those already on site, and the proposals would not lead to any increase in herd size.
Speaking at the meeting, agent Gethin Beynon said the scheme would lead to “improved animal husbandry to serve the existing milking herd and to support the next farming generation”.
He told members the application was accompanied by environmental enhancements and screening, with no objections from members of the public or any statutory bodies.
Mr Beynon went on to say the herd was currently housed in historic farm site buildings that “fall short of current standards,” with a farm move towards Holstein cattle which need more space.
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“It will improve animal husbandry and efficiencies in what is currently a challenging market,” he concluded.
Approval was moved by Cllr Alan Dennison, seconded by Cllr Brian Hall, and unanimously backed by committee members.
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