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Businesses’ Brexit fears dismissed

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Airbus: Warned of risk of capital flight

THE RECENT conduct of Foreign Secretary Boris Johnson has led to fears that the future of the UK’s business relationships with Europe are of secondary interest to senior government ministers.

A strongly-worded statement from the CBI, warning policy makers to ‘focus on business priorities and put evidence above political ideology’ was greeted with Mr Johnson remarking ‘f**k business’.

Those remarks were preceded by the Foreign Secretary being recorded saying that the border with Ireland was a minor issue of little consequence in the context of Brexit.

The CBI subsequently suggested that it will ensure negotiators on both sides ‘are well equipped with the unequivocal economic facts’.

Whether the facts fit the Foreign Secretary’s preconceptions of what Brexit might mean for the UK’s businesses is open to question.

AIRBUS RAISES STAKES

A similar gap between reality and ideology was exposed by the warning from Airbus that – in order to continue to comply with the European regulatory framework – it might have to move its base of operations from Broughton in Clwyd, where it supports 6,500 directly employed jobs and businesses and the economy over a much wider area.

In the absence of a Brexit agreement, UK aerospace companies will not be covered by existing approvals. More than 10,000 original aircraft parts originate in the UK, the manufacture of which is covered by tight regulations requiring certification by the European Aviation Safety Agency. Should a single parts supplier not be certified, its parts cannot be installed and aircraft will not be delivered.

If a supply chain agreement is not reached with the EU, the consequences for the aviation industry selling into the EU trading bloc will be a disaster for the UK.

BUSINESSES TOLD TO BUTT OUT

However, the unwelcome intervention of facts in the Brexit narrative roused Health Secretary Jeremy Hunt to tell the BBC’s Andrew Marr that talking about job losses risked undermining the government in its negotiations with the EU.

“It was completely inappropriate for businesses to be making these kinds of threats, for one simple reason. We are in a critical moment in the Brexit discussions. We need to get behind Theresa May to deliver the best possible Brexit, a clean Brexit.”

Mr Hunt’s comments were supported by leading Brexit enthusiast Liam Fox, the Secretary of State for International Trade, who also suggested that businesses warning the government based on their own detailed knowledge of the regulatory regimes under which they work were somehow placing the UK Government’s negotiating position – which is as yet both unknown and possibly undetermined – at risk.

The key economic issue for businesses is ensuring the sort of continuity in trading arrangements which secures jobs and encourages investment. Large businesses need a significant amount of time to make decisions on the allocation of resources, particularly in the face of unpredictable trade policy by twitter approach of the US Government. Short of certainty, and faced with a capricious transatlantic trading partner which scraps trade agreements and treaties at short or no notice, businesses are understandably twitchy about their inability to plan and the absence of meaningful interaction with them by the UK Government’s crack Brexit team.

In a carefully-phrased statement to MPs, Business Secretary Greg Clark told MPs: “Any company and any industry that supports the livelihoods of so many working people in this country is entitled to be listened to with respect.

“The government has been clear that we are determined to secure a deal with the EU that meets the needs of our aerospace firms and the thousands of people whose livelihoods depend on them.”

IRISH TRADE KEY FOR WEST WALES

Meanwhile, businesses have struck back at the apparent indifference of the UK Government’s key Brexit ministers to the interests of businesses which stand to be affected directly should the UK reach no regulatory deal – or a poor regulatory deal – with the EU.

Business groups the CBI, Chambers of Commerce, Federation of Small Business, the Employers’ Federation, and the Institute of Directors are placing pressure on the government to reach agreement on trade, customs, and immigration.

Pembrokeshire’s MPs, Simon Hart in Carmarthen West and South Pembrokeshire and Stephen Crabb in Preseli Pembrokeshire, are in an intriguing position over the issue of Irish trade.

With major ferry ports in Pembroke Dock and Fishguard, both Conservatives have a dog in the race to ensure that trade with the Republic of Ireland is at least maintained at current levels.

100,000 lorries were carried to Ireland via ports in Pembrokeshire in 2015. Any disruption of that trade, by the introduction of customs and immigration checks for example, would significantly reduce the attractiveness of west Wales’ ports to businesses trading with Ireland. That is not, however, a one way street. The Irish Government is also keen to maintain access to the UK as an access point to mainland Europe.

While the ports are not in themselves major employers, the ‘ripple effect’ of any loss or reduction in through traffic and any subsequent job losses could be significant. And concerns have been magnified by Stena’s decision to scrap a significant investment plan in Fishguard.

When we asked to respond to the Foreign Secretary’s views on the Irish Border issue and the importance of trade with Ireland to Pembrokeshire, Simon Hart said: “I have spoken (very informally) to [Boris Johnson] to make that point, which he says he recognises. The border issue might be minor in the overall context of Brexit but it is nonetheless very important.”

Stephen Crabb told us: “I have said right from the start that the issues over trade between the UK and Ireland, including the question of the Northern Ireland border, are some of the most complex and important of the Brexit negotiations.

“For us in Pembrokeshire it is important because of our trade links with Rosslare and I have raised this matter with Ministers in Ireland, the Cabinet in Westminster. The commitment that the Prime Minister has given that there will be no additional trade barriers for East-West trade between the UK and Ireland is crucial and reflects the points that I and others have been putting to her.”

Business

Plans for house in Dinas Cross pub car park in Pembrokeshire refused

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AN APPLICATION to build a three-bedroom house on the site of a north Pembrokeshire pub car park has been refused by national park planners.

Julian and Alison Parkes, of The Ship Aground public house, Dinas Cross, sought permission to build the house on nearby land used as a car park for the pub, creating seven new parking spaces nearby to replace the site.

A report by Pembrokeshire Coast National Park planning officers, recommending refusal, said: “The principle of residential development is normally acceptable within centre boundaries, subject to detailed design considerations and compliance with other policies in the local development plan.

“Following consultation, objections have been received from statutory consultees including the Welsh Government Truck Road Agency who have concerns regarding the proposed parking that will serve the Public House. They have directed that planning permission is not granted on the basis of insufficient information.  Concerns have also arisen from third-party letters.”

The report said the design “incorporates a traditional form with modern features and design detailing and will ensure the privacy of neighbours is protected along with the special qualities of the National Park when viewed from the immediate and wider landscape” but added: “Key information relating to the loss of parking to the Public House has not been addressed and how the loss of parking could have an economic impact, also considering that the proposed parking does not meet parking safety standards and further amendments would be required.”

The application was refused on the basis of Trunk Road Agency concerns including a lack of information to demonstrate the number of parking spaces offered would comply with current car parking standards, layout designs for the proposed replacement spaces, and also that insufficient evidence submitted to support the granting of permission for the car park spaces to serve the public house.

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Scheme to upgrade Dinas Cross holiday park withdrawn

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PLANS to create a ‘five-star resort’ in one of Wales’s most popular holiday locations have been withdrawn.

In an application submitted to Pembrokeshire Coast National Park, Chester-based Boutique Resorts Ltd sought permission to relinquish 50 mixed touring pitches (caravans and tents) at Fishguard Bay Resort, Dinas Cross, replacing them with “36 high quality timber-effect holiday lodges”.

The application, recommended for refusal at the April 24 meeting of the national park’s development management committee, also included an increase in the site area of the approved park, a new entrance, a new reception lodge, staff and visitor parking area, with extensive environmental improvements.

The site, established in the 1950s, currently has planning permission for 50 static caravans and 50 mixed touring units, and it is intended 23 of the proposed lodges to be sited at the entrance, with a further 13 throughout the site.

Despite the proposals seeking a reduction in outright numbers, the applicants say the scheme would see an increase in the number of full and part-time jobs associated with the resort, from 29 to 62 jobs.

A previous application was refused in 2019, mainly on visual impact, ecological impact and highway impact, and the applicant has sought to address the issues raised by that refusal, a supporting statement says.

It adds: “The applicant purchased the site in 2014 with the intention to upgrade the site into a five-star luxury resort. This is very much still the applicant’s intention and whilst he has replaced some existing static caravans with luxury lodges, he also seeks to replace the touring caravans and tents with luxury lodges too.

“The resort is now considered one of the most desirable holiday parks on the Pembrokeshire Coast which is evident on the number of holidaymakers who return to the resort year on year. Such is demand for luxury lodges on the site, the applicant requires additional units.

“The applicant now wishes to move the resort further by replacing the mixed touring pitches with luxury lodges but also provide a much-needed new entrance into the resort.”

Objections to the scheme were received from the National Trust, the national park’s strategic policy and ecologist, and the South Wales Trunk Road Agency, and 12 members of the public, along with one letter of support.

The application was recommended for refusal for reasons including it was “likely to have a significant detrimental impact on the special qualities of the National Park by intensifying the visual impact and intrusion of a large static caravan site within the extensive coastal views of this section of the National Park,” it would represent an intensification of the site, and was likely to “have an unacceptable impact on neighbouring residential amenity through increased noise and traffic movements”.

The application, listed for consideration by park planners next week, has since been withdrawn.

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Bluestone National Park Resort payments expected to end 

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A CALL to end a legal agreement for financial contributions associated with the creation of Pembrokeshire’s Bluestone National Park Resort is expected to be backed next week.

In a submitted application to Pembrokeshire Coast National Park on behalf of Bluestone Resorts Ltd, legal firm Red Kite Ltd asks for a cessation of a 2004 Section 106 legal agreement used to pay towards various projects including enhancements to footpaths and bridges.

In a supporting statement says most agreements of this type are time limited, and “today such an arrangement without a timeframe would likely not be considered acceptable by either side.

“However, no such end date was placed on this one. More recently, it was agreed between the parties that the payments would cease in 2025, also known as a ‘statement of common ground’. This is why a formal agreement now has to be made by each of the parties involved.”

The statement says that, since the agreement was made, Bluestone has paid nearly £280,000 through the agreement, adding: “As part of the Statement of Common Ground, it was agreed by Pembrokeshire County Council, Pembrokeshire Coast National Park Authority and Bluestone that a final fee of £113,000 would be paid, spread over 2023, 2024, and 2025 in annual payments of £38,000.”

A report by national park officers, ahead of the Pembrokeshire Coast National Park Development Management Committee meeting of April 24, where it is recommended for approval, says: “The applicant has applied to discharge the Section 106 Legal agreement but the supporting text notes that they applicant is agreeable to making two final payments.

“Having considered the information submitted, officers consider that provided the two final payments are received the legal agreement has served its purpose and can be discharged.

“In order to ensure the two final payments are made, a modification to the Section 106 legal agreement is supported.  This decision is supported by Pembrokeshire County Council, who have received a concurrent application which is also recommended by officers for modification.”

The report says the £280,000 figure presented by Bluestone actually amounted to £318,703.87, taking into account a 2023 payment of £38,891.73, with Pembrokeshire County Council’s S106 monitoring officer confirming the contributions have been spent on a range of public rights of way improvements, primarily in nearby Canaston Woods.

Recommending approval, the report adds: “The authority is satisfied that subject to two further payments of £38,000 to be made in August 2024 and August 2025, the obligation no longer serves a planning purpose and can be discharged and as such the obligation should be modified accordingly.”

The 500-acre Bluestone resort near Narberth has, since its opening, contributed to “more than £100 million to local suppliers, £7 million annually into the local supply chain, £13 million annually into the Pembrokeshire economy through its payroll, and more than £1.5 million spent annually on marketing Bluestone and Pembrokeshire.”

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