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Welsh savers are missing out as over £14bn is sitting in accounts earning 1% or less

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SAVERS in Wales are missing out on higher interest payments as new data reveals almost £15bn is held in savings and current accounts earning 1% or less.

The figures come from Principality’s recent analysis of CACI data, which shows £14.5bn is sitting in accounts earning 1% or less. Across Wales there is around £38bn in savings and current accounts, meaning almost 40% of this money is missing out on better interest rates. Currently, the average amount held in savings accounts in Wales sits at £7,337, which means the return difference between a 1% and a 5% interest account could be as much as £293 for these savers, across the year.

The Bank of England’s 14 consecutive base rate hikes have led to the highest interest rates seen in 16 years, recently held for the sixth time at 5.25%. This has resulted in higher savings rate accounts being available on the market, offering customers interest as high as 6%.

Despite this, billions of pounds in savings across Wales remain in low-interest rate accounts.

In response, Principality Building Society is urging people in Wales to consider letting their savings work harder for them through higher interest accounts. Last year, Wales’ largest building society paid a higher interest rate than the market average and currently offers savings rates between 3.5% and 6% for new and existing customers.

Vicky Wales, Chief Customer Officer at Principality Building Society, said: “We strongly urge savers across Wales to compare their current returns with other available rates on the market. Interest rates have been a focal point over the last few years due to the prolonged period of a higher Bank of England base rate. This has led to calls for banks and building societies to pass higher savings rates on to their customers, which is something we are committed to at Principality. Last year, we paid our members better interest returns than the market average demonstrating our loyalty to our customers. However, not enough emphasis is being placed on encouraging customers to stay informed about the rates available.

“As a customer, doing your research and shopping around can now significantly impact the return on your savings.

We invite people across Wales, whether you’re currently a Principality customer or not, to drop into one of our 53 branches across Wales to speak with one of our savings specialists who are on hand to help answer any questions you might have and to find out how to make your money work harder for you. We’re here to make life’s hopes and aspirations possible.”

A survey conducted by the Building Society shows that 42% of Principality’s members regularly check their savings rates to compare with other market rates, with 70% of members saying Principality offers a range of products suitable to their financial needs. More than 60% also said they would need to rely on their savings to some extent for their retirement plans.

Principality Building Society remains committed to supporting Welsh communities and has 53 branches and 15 agencies across Wales and the borders.

For more information on making your money work harder for you, visit your local Principality branch today, or go to: https://www.principality.co.uk/en/savings-accounts

Image: Huw John

Business

Tata workers Port Talbot rally ahead of industrial action to stop shutdown

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A RALLY will be held outside of the Port Talbot steelworks on Monday (17 June) ahead of industrial action beginning the following day to stop Tata unnecessarily closing its blast furnaces and cutting 2,800 jobs.

Around 1,500 Tata steelworkers based in Port Talbot and Newport Llanwern will begin working to rule as well as taking part in a continuous overtime ban from 18 June. The industrial action will severely disrupt and delay Tata’s operations and order book. Strike action will be scheduled if the company does not row back on its plans.

The overtime ban and work to rule is the first time in 40 years that there has been industrial action in the UK steel industry.

Unite general secretary Sharon Graham said: “Tata’s workers are taking this industrial action because they know the company’s claim that jobs cannot be retained in South Wales during the transition to green steel is a lie. They are standing up and fighting for a better future, one in which Tata’s British business can take full advantage of the coming green steel boom and not be sacrificed to benefit its operations abroad.

“The current government have backed Tata’s disastrous deal for Britain without even getting any job guarantees. But in less than a month, Tata will almost certainly be dealing with a new political reality. Labour has told Tata to wait for the £3 billion steel investment fund, a commitment secured by Unite. That is what it must do. Unite will use every weapon in its armoury to ensure that it does.”

The rally will feature speeches and contributions from worker representatives and Unite national lead officer Onay Kasab.

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Business

RWE launches pre-application consultation for RWE Pembroke Battery

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TO support their decarbonisation ambitions as part of Pembroke Net Zero Centre, RWE is progressing proposals to develop a battery energy storage system on its land adjacent to Pembroke Power Station. 

Battery energy storage plays a crucial role in the integration of renewable energy sources, such as solar and wind, into the power grid, excess renewable energy can be stored and fed into the grid when needed. Electricity is consumed in real time and this technology will, where possible, enable homes and businesses to be powered by renewable energy.  

The consultation on RWE’s plans launches Monday 17 June 2024 and will end on Monday 15 July 2024. RWE is asking the community for their views on these plans and has launched a consultation where local people can provide feedback on the planning application. 

The proposed development would be located on a 5.1 hectare area to the south of the current power station and would comprise 212 Battery Containers, 106 Power Conversion Systems (PCS) enabling connectivity to the grid, and associated infrastructure. 

The battery would have a maximum charge / discharge power of 350 megawatts and would connect via underground cables to the grid at the adjacent National Grid 400 kV substation. Once fully operational, Pembroke Battery would be capable of storing enough electricity to meet the average daily domestic energy needs of more than 72,0001 typical UK homes. 

In line with RWE’s commitment to protect and enhance local environments, the company has pledged to deliver various biodiversity measures as part of the proposals. Field margins will be enhanced by species-rich meadow planting, native woodland and scrub planting, while a new large pond will be provided and managed to support local wildlife. The periphery of the development site will also be further enhanced with bat and bird boxes, insect hotels and reptile hibernation shelters around the field edges. A Habitat Management Plan will ensure the habitats created are managed sensitively in support of local wildlife for the lifetime of the project.

Commenting on the proposals, Richard Little, Pembroke Net Zero Centre Director, said: “RWE Pembroke Battery represents the next step in our plans to invest in new innovative energy technologies, as part of our vision for Pembroke Net Zero Centre. We would like to thank those who engaged with us in our Green Hydrogen consultation and encourage the community to get involved with the consultation process, learn more about our battery energy storage proposals, and have their say on the proposals.” 

Members of the community can contact the project team and leave feedback via the project website rwe.pembrokenetzerocentre.co.uk/battery, telephone 01646 370090, email [email protected] or by writing to ’Freepost PNZC Consultation’.  

Local people can also join RWE at an in-person event at South Pembrokeshire Golf Club on 24th June 2024 between 2pm and 7pm to speak with project team members, ask questions and provide feedback. 

Pembroke Net Zero Centre has a critical role to play in Wales’ and the UK’s pathway to Net Zero. By decarbonising its current operations at Pembroke Power Station, while investing in new innovative technologies, such as battery energy storage and hydrogen generation, RWE can establish Pembroke at the forefront of South Wales’ low carbon future.

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Business

115 new homes being built in Haverfordwest by Lovell and Pobl Group

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IN big news for housing in Pembrokeshire, leading partnerships developer Lovell, in collaboration with housing association Pobl Group, has embarked on a £28.65 million project in Haverfordwest. This development, named Augustus Grange, promises to deliver 115 new homes, of which 69% will be affordable.

Contracts have been finalised for the mixed tenure development, situated off St David’s Road, just six miles from the picturesque Pembrokeshire Coast National Park. Augustus Grange will feature a mix of two and three-bedroom homes, catering to a variety of needs and budgets. Of the 115 homes, 36 will be available for open market sale, while 79 will be affordable – with 37 offered through Shared Ownership and 42 designated for social rent.

Construction has now commenced, with Lovell aiming for a 2026 completion date. Prospective buyers can expect the first homes to hit the market in summer 2024, and the development’s showhomes are anticipated to open later this year.

James Duffett, Regional Managing Director at Lovell, expressed his enthusiasm for the project: “This is a hugely exciting announcement for us at Lovell. Pobl is one of our long-standing partners and we are delighted to be working with them once again to deliver 115 homes in Haverfordwest.

“Augustus Grange is a very significant development, showcasing the success of our expansion plans across South Wales. We’re looking forward to providing the area with high-quality homes set within a vibrant new community.”

Adam Roberts, Head of Development (West) at Pobl, highlighted the importance of affordable housing in the area: “We know that people living in Pembrokeshire are often priced out of homes in their local market, so we are proud to be partnering with Lovell to increase the supply of affordable homes to rent and buy in this great location. With blue flag beaches within a 15-minute drive and all the amenities of Haverfordwest on your doorstep, Augustus Grange will be a great place to set up home.”

Haverfordwest, a historic county town, offers future residents a blend of rich heritage and modern conveniences. The town centre is home to the 12th-century Haverfordwest Castle and the scenic Western Cleddau river. With its beautiful coastal landscapes, a variety of shops and restaurants, and excellent commuter links by both road and rail, Haverfordwest presents an ideal setting for the new development.

Lovell has been a prominent figure in the partnership housing sector for over 50 years, renowned for building thriving communities. For further information, visit Lovell’s website.

To learn more about Pobl, visit Pobl’s website.

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