Politics
More than a quarter of childcare providers fear they won’t survive the year
MORE THAN a quarter of childcare providers say they will not survive the year due to funding rates failing to keep up with costs, a committee warned.
Jenny Rathbone, who chairs the Senedd’s equality committee, highlighted an Early Years Wales survey which raised the sector’s concerns about financial sustainability.
The Cardiff Central MS said while 72% of providers were confident they would survive for one year, that means 28% feared for their immediate future under the current model.
Ms Rathbone warned of a “falling-off-a-cliff” scenario with 80% of providers saying they did not think they would survive two years and only 9% confident of surviving the next five.
Calling for a rapid review, Ms Rathbone warned: “Any increase in funding would only come in the next financial year. So, where does that leave these people?”
Buffy Williams, a fellow Labour backbencher, said almost all providers want the hourly rate of childcare offer funding to be reviewed annually or linked to inflation.
She raised evidence to the committee that the current £5 rate – which was initially set in April 2022 – is unsustainable and risks the viability of a large number of childcare providers.
Jayne Bryant, who is new in post as early years minister, said a three-year cycle aligns with the budget-setting process but she would be open to reviewing the vital rate more regularly.
Acknowledging the fragility of the childcare sector, she said: “I do recognise that for some providers this really does mean that they’re operating very close to the financial wire.”
Ms Bryant confirmed any rate change would not come into effect until April 2025, stressing that budgets are tight and decisions must be based on robust evidence.
Clare Severn, the Welsh Government’s head of childcare and policy, warned that childcare settings in Wales face “really, really tough times”.
She said: “The national minimum wage has really impacted on childcare settings.
“The increase in the actual wage as well as the change to the age at which people are entitled to the national minimum wage has really fallen hard on the childcare sector.”
Jane Dodds, the Lib Dems’ leader in Wales, who was a social worker for 27 years, raised concerns about inadequate provision across Wales for disabled children.
Sharing her concerns, Ms Bryant pointed to the additional support grant, which aims to ensure that all children have equal access to the Welsh Government’s childcare offer.
Pressed for a timeline on proposals for professional registration of the workforce, Ms Severn stressed the need to tread carefully, suggesting the reforms are at least two to three years off.
Plaid Cymru’s Sioned Williams highlighted evidence from the Bevan Foundation and Oxfam Cymru that most parents believe childcare is completely unaffordable.
Ms Bryant told the committee a universal childcare system remains the ambition, with a wider vision for a fully integrated early childhood play, learning and care system.
Quizzed about the expansion of the childcare element of the Flying Start programme, the witnesses said five councils are lagging due to recruitment and retention challenges.
Responding to the Bevan Foundation’s calls for a more cohesive childcare offer, Ms Bryant agreed it is important to make it as easy as possible for parents to understand entitlements.
Carolyn Thomas, who represents North Wales, echoed the Wales TUC’s calls for a childcare forum to tackle low pay and the undervaluing of a predominantly female workforce.
The Labour MS highlighted suggestions that standards and benchmarks relating to the workforce could be used as a condition of funding in future.
Ms Bryant suggested Wales could follow Scotland in attaching requirements in relation to pay and staff development, particularly a commitment to the real living wage.
Giving evidence as part of the committee’s follow-up inquiry after a 2022 report on childcare, she said she will shortly be launching a review and refresh of the ten-year workforce plan.
Pressed for her priorities, the early years minister listed the first 1,000 days in a child’s life, workforce challenges and equal access to childcare for disabled children.
Business
Harbwr Brewery plans for Saundersfoot Old Chemist pub
A FORMER Pembrokeshire county councillor who owns many hostelries in the county has submitted plans to the national park to rejuvenate a “tired” seaside pub.
In an application to Pembrokeshire Coast National Park, Mike Evans of Harbwr Brewery, a former county councillor and national park authority member, seeks a partly retrospective permission for works at the Old Chemist Inn, The Strand, Saundersfoot.
The works include proposed internal alterations to the basement and ground floor, a new rear balcony area to replace the existing one, improvements to front façade, a change of use of shop space to food/drink, and installation of seating booths in the rear garden.
It says the changes proposed will increase the number of staff employed to 15 full time and 10 part-time.
No objections to the proposal were raised by local community council Saundersfoot.
A supporting statement through agent David J P Morgan RIBA Architect, says the 19th Century pub “has endured many alterations during its lifetime and at present it needs improvements to echo the recent upgrading of the village, both in the general tourism support facilities, as well as the new innovative harbour development,” with the appearance and interior facilities “tired” and needing “works both inside and outside to enable the inn to achieve and provide the high levels of cuisine and facilities now expected”.
It says: “The Inn has been purchased by a local company who have a number of establishments within Saundersfoot and Tenby. The company is owned by local people, they use local produce, they employ local labour and work actively with local communities to achieve the high standards expected.
“The proposals include internal alterations to the internal layout of basement and ground floor which will improve bar, kitchen and food facilities and allow a much more varied menu including lots of local produce and locally caught seafood dishes. New toilet facilities will be provided on both levels to cater for the increase in visitors to the Inn.”
It adds: “The applicant has recently purchased the small retail unit on the ground floor. This was a single room, situated in between the two entrances into the Inn and with its own entrance door from the street.
“The current proposals include integrating this unit into the public house bar area and consequently the application includes a change of use from retail to the serving of food and drink.”
It goes on to say: “The rear ‘beer garden’ will be improved to allow more space and comfortable seating areas.
“The applicant is well known for the extensive use of external plotted plants in open areas at their establishments and the garden area will give the opportunity of using such to soften the garden area whilst giving greater habitat opportunities for birds and insects.”
There were initial objections from the Park’s buildings conservation officer to some of the parts of the design, a 2025 application being withdrawn early that year; amended plans being later submitted.
The application will be considered by park planners at a later date.
News
IFS report says Wales lags behind UK on economy and poverty
THE WELSH GOVERNMENT’s key Child Poverty Strategy lacks clarity, has no reliable way of measuring success or failure, and, crucially, does not account for the Welsh Government’s lack of control over the levers needed to deliver on it.
Those are the findings of a new report by the UK’s leading economic policy research body, the Institute for Fiscal Studies (IFS), which looks at Wales’s economic performance and poor employment record.
The IFS report, published on Wednesday (April 1), shows that Wales’s economic performance is the worst of the UK nations, with the lowest employment rate, the lowest incomes, the lowest productivity, and the worst poverty levels.

POVERTY STRATEGY LACKS FOCUS
The Welsh Government launched its Child Poverty Strategy in 2018, with five broad aims to reduce child and youth poverty. However, the IFS criticises how those aims have been set out, finding that the definitions are too broad to be measured accurately and lack focus. In particular, the IFS says the strategy’s aims are so nebulous that they ignore the impact of policy areas over which the Welsh Government exercises direct control, for example, health and education, on how outcomes might be measured.
The IFS report says: “Issues with the data mean a material risk that the Welsh Government might either appear to have met a future poverty target or missed it, by a large margin, when in fact the reverse is true.”
WG NOT IN CONTROL OF OWN POVERTY STRATEGY
In any event, several of the most direct policy levers available to influence employment and earnings, including minimum wages, employment law and benefits policy, are reserved to Westminster. However, even if these policy levers were available, it would be very challenging to achieve large, rapid reductions in child poverty with them. In addition, Labour has ruled out using the tax system to generate additional income to help it meet its aims.
Wales’s highest-earning regions are along the North East Wales border with England and in the Cardiff and Newport areas. In addition, proportionately more Welsh employees are public sector workers, who are also, far and away, the best paid in Wales. The average public sector wage is around £5,000 higher than the average private sector wage. And those jobs, too, are disproportionately centred in Cardiff, Newport and North East Wales. The best-performing areas by employment rate, Monmouthshire and Newport, are within easy reach of the English border.
POVERTY CONCEALED BY LOWER PROPERTY VALUES
Compared with the rest of the UK, the gap between men’s and women’s pay is lower in Wales, as are the differences in income and in the highest and lowest property prices. However, property prices are far lower in Wales than in England, as are incomes overall; in addition, there are so few higher-rate tax earners in Wales that the Welsh Government increasing their income tax would have a negligible effect on its revenue. In addition, because Welsh housing prices are much lower than elsewhere in the UK, and because housing costs are a factor in how poverty is measured, housing costs improve one of the key poverty metrics.
News
Carol Vorderman urges Welsh voters to reject Reform UK ahead of Senedd election
TV presenter and commentator to appear at Cardiff event aimed at mobilising anti-Reform voters before May 7
CAROL VODERMAN has urged voters in Wales to reject Reform UK at next month’s Senedd election, as she prepares to appear at a live political event in Cardiff focused on keeping the party out of power.
Speaking ahead of an emergency Guilty Feminist Welsh Election Special at the New Theatre, Cardiff, on Sunday, April 12, Vorderman said Wales faced a crucial choice at the ballot box.
She said: “Wales has a chance for a new beginning in May. But Reform, the chaotic London-based, privately educated, failed Tory party, needs to be sent packing.
“Already numerous of their 96 Welsh candidates have resigned or been sacked for revolting actions. Their last Welsh Reform leader Nathan Gill is serving time in jail for accepting Russian bribes while serving in the European Parliament. Their new Welsh leader was a Tory living in London until a few months ago.
“Farage is a thin-skinned and proven liar. Everyone must come out to vote to save our country. Cymru Am Byth.”
Vorderman is due to appear alongside Guilty Feminist host Deborah Frances-White, with Welsh comedians Kiri Pritchard-McLean and Priya Hall also on the bill. Organisers say the night will mix comedy, music and political discussion, with the aim of building strategy ahead of the election.
Frances-White said polling suggested the Senedd result could be close and argued that “it really matters who ends up making decisions about our lives”, adding that the event was intended as a “get-in-the-room” night to work out how to respond.
Reform UK’s current leader in Wales is Dan Thomas, who was unveiled by Nigel Farage in Newport in February. Thomas is a former Conservative leader of Barnet Council in London, although he grew up in Blackwood.
Vorderman’s reference to Nathan Gill points to a highly embarrassing chapter in the party’s recent history. Gill, a former Reform UK politician and ex-MEP, was jailed last year after admitting taking bribes from pro-Russian figures in exchange for speeches and statements in the European Parliament.
Asked for a response to Vorderman’s remarks, a Reform UK Wales source replied briefly: “Does she even live in Wales?”
It was a short answer, but perhaps not one likely to end the argument. With the campaign heating up, and with high-profile voices now piling in from outside formal party politics, the battle for attention ahead of May 7 is only getting louder.
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