Business
Wales faces ‘postcode lottery’ in care home fees, say sector representatives

ALL local authorities in Wales should standardise payments for care home places, according to Care Forum Wales, the organisation representing the sector. The current system, where fees are set by individual councils, has led to stark discrepancies across the country, creating what the forum describes as a “postcode lottery”.
A significant variation in weekly charges for basic care has emerged between neighbouring counties, with some care home owners warning that the situation could force more closures. In two adjacent counties, the fees can differ by as much as £70 per week.
The Welsh government has acknowledged the issue, stating that its new National Office for Care and Support is considering measures “to bring about consistency”. However, it has also indicated that fee rates will continue to differ due to “local factors like land values for care homes”.
The Welsh Conservatives criticised the current approach as a “false economy”, arguing that social care and health services should not be competing for resources. Plaid Cymru echoed the need for change, calling for a “transformational change” in the health service.
Orme View care home in Llandudno, Conwy county, has seen its fees rise this year, following a decision by Conwy council to break away from the system where all councils in north Wales set their fees collectively. Instead, the council has adopted a new fee structure based on recommendations from an independent assessor, resulting in significantly higher payments.
Steffan Robbins of Orme View welcomed the change, calling it “an amazing, positive step forward.” Speaking to Politics Wales, he said, “Conwy have taken that step to really assess the true cost of care and make sure they deliver a fee that’s affordable to them, but also a fee that reflects the true costs that we’re seeing in the sector.”
In contrast, the Old Vicarage care home in Llangollen, Denbighshire, is receiving thousands of pounds less per resident each year compared to Orme View because it relies on the fees set by Denbighshire council. Although there has been an increase in fees this year, it remains substantially lower than the rates in neighbouring Conwy.
Currently, the fees for basic care in Conwy are £846 per week, while in Denbighshire they are £774. The disparity means that some care homes, like the Old Vicarage, are forced to charge residents additional top-up fees to stay afloat.
“It’s very disappointing,” said Bethan Mascarenhas, who runs the Old Vicarage. “As somebody who’s very invested in the work that they do, we really strive to give the absolute best level of care… Unfortunately, the divide between the fees will make that difference in what you can provide.”
A call for change
Care Forum Wales, the umbrella organisation for Welsh care homes, has warned that the current system is undermining facilities in areas where the fees do not reflect the actual costs. Chairman Mario Kreft emphasised the need for uniformity, stating, “The new National Office for Care and Support needs to ensure we have parity across Wales, that there is at least an understood basic level of funding across all local authorities and health boards. We’ve got to move away from a postcode lottery.”
Denbighshire council responded by asserting that it is striving to balance financial constraints while ensuring the sustainability of the care sector in the county. “We have worked hard to strike the delicate balance between navigating challenging financial constraints and ensuring that we are maintaining a sustainable future for the care sector in the county,” a spokesperson said. The council also noted that it has not seen evidence to suggest that differing fee rates are affecting the solvency of care homes in Denbighshire.
Speaking to BBC Politics Wales, Welsh Conservative MS Sam Rowlands urged the Welsh government to ensure that local authorities receive adequate funding to properly compensate care homes. “It’s kind of a false economy pitching social care against health services, because we know that there are hundreds and hundreds of beds in our hospitals at the moment which are blocked because people cannot access the care services that they need,” he said.
Plaid Cymru MS Mabon ap Gwynfor also called for a significant shift in the approach to care services. “We need to see a transformational change within the care service,” he said. “We need to see the Welsh government actually put this first and foremost as a priority… and to deliver that national care service so that care is free for individuals, that people working in the sector are paid properly, so that we know that our loved ones get that care.”
The National Office for Care and Support is currently exploring the possibility of introducing national fee methodologies to standardise care home fees. However, it has indicated that this does not necessarily mean a single national fee rate, as fees will still vary according to local factors such as land values for care homes.
The debate continues as stakeholders await the government’s next steps in addressing the inequalities in care home funding across Wales.
Business
Mind the gap: Welsh employers and Gen Z out of sync on skills

New report reveals Wales has the UK’s highest skills shortage – but young people are ready to step up
A MAJOR new report by The Open University has revealed a growing disconnect between Welsh employers and the next generation of workers, potentially undermining efforts to tackle the country’s persistent skills shortages.
The Business Barometer 2025: Skills for today and tomorrow surveyed over 2,000 business leaders and 1,000 Gen Z adults across the UK — including 139 employers and 80 young people under 25 in Wales. It found that 58% of Welsh organisations are currently experiencing a skills shortage — the highest of all UK nations.
Yet despite this, only 31% of those employers have specific initiatives in place to recruit, retain or train under-25s.
Gen Z ready to respond — but need support
Encouragingly, over half (54%) of young people surveyed in Wales are aware of the national skills gap and are actively considering it in their career planning:
- 73% are choosing careers based on areas of high demand
- 66% say they would stay longer with employers who offer training and development
However, the report suggests that this willingness is not being met with sufficient guidance or opportunity — especially in fast-growing areas such as artificial intelligence (AI), digital, and green skills.
While 58% of Welsh Gen Z respondents say they are interested or already working in AI, one in five Welsh employers report lacking confidence in their ability to deliver AI strategies due to talent shortages.
Call for action on training and inclusion
Dr Scott McKenzie, Assistant Director for Learning, Skills and Innovation at The Open University in Wales, said: “The data is clear: there’s a mismatch between employer intentions and practical action. But there’s also a real opportunity. Welsh organisations can bridge the gap by developing structured skills plans, investing in flexible learning, and opening pathways to a more diverse talent pool. Those who act now will be the ones best placed to thrive in the future.”
Baroness Martha Lane Fox CBE, Chancellor of The Open University, added: “Young people are motivated, digitally savvy and want to contribute. Employers must meet that energy with training pathways and real opportunities. Waiting for skills to arrive is no longer enough — smart organisations will build them proactively.”
Diversity still lagging behind
While 80% of Welsh employers say equality, diversity and inclusion (ED&I) is important to their organisation, 25% admit to having no initiatives in place for underrepresented groups such as returners, career changers, or people with disabilities and neurodivergences.
This is seen as a missed opportunity to reduce economic inactivity and broaden the talent pipeline — especially in sectors where workforce shortages are most acute.
Skills shortage set to worsen
The Business Barometer, now in its ninth year, shows the issue is far from easing. In Wales:
- 38% of employers expect the skills gap to worsen over the next five years
- 60% say shortages are increasing workloads on existing staff
- 43% report reduced productivity
- 37% have scaled back growth plans
- 20% fear they won’t be able to meet their AI ambitions by 2030
Yet, despite these pressures, only 36% of Welsh employers have a formal skills plan in place. And while training is proven to aid staff retention, 30% say they hesitate to invest in staff development for fear employees will leave.
Full report and recommendations available at: https://business.open.ac.uk/business-barometer
Business
Senedd election candidates challenged to double apprenticeship funding

AN ORGANISATION representing training providers across Wales is calling on allpolitical parties and2026 Senedd election candidates to commit to doubling investment in apprenticeships to support 200,000 apprentices over the next Senedd term.
Launched today (June 24), the National Training Federation for Wales (NTFW) ‘Manifesto for Apprenticeships: Building a Skills First Economy for Wales’ seeks to “build a Wales that thrives on skills, opportunity and ambition for everyone.”
According to the Centre for Economics and Business Research, doubling the investment in apprenticeships over the next Senedd term could generate an extra £3.4 billion in additional lifetime earnings for people in Wales over the next 30 years.
“Apprenticeships are not just a pathway to employment; they are the backbone of a prosperous Welsh economy, equipping people across all backgrounds with hands-on skills tailored to the needs of our industries,” says the NTFW manifesto.
“Investing in apprenticeships is an investment in people and in the future of Wales. With fair funding, inclusive access and strong partnerships, apprenticeships can help power a more equal, skilled and resilient nation.
“NTFW urges all Senedd candidates and political parties to commit to this vision. Let’s build a Wales that thrives on skills, opportunity and ambition for everyone.”
Collaboration is a key word throughout the manifesto, as the NTFW seeks to work in partnership with the Welsh Government, Medr, training providers, employers, learners, the Federation of Small Businesses (FSB), Confederation of British Industry (CBI) and the Coleg Cymraeg Cenedlaethol.
“By collaborating closely with Medr, we can ensure apprenticeship programmes are responsive, innovative and aligned with emerging industry needs,” states the manifesto.
“By working together, we can shape apprenticeship programmes that directly address skills gaps, boost productivity and support economic diversification.”
The NTFW commits to providing equal access to qualifications delivered through the medium of Welsh or bilingually and calls on the next Welsh Government to prioritise mental health and wellbeing support services for apprentices.
The manifesto calls on the next Welsh Government to restore money cut from the apprenticeship budget last year and tointroduce long-term, sustainable funding that offers equity with other forms of post-16 education.
It says apprenticeships must be placed at the heart of government policy and calls for a vocational skills strategy, developed in partnership with providers, to determine what is needed to maximise opportunities.
The manifesto also calls for:
- a skills system that speaks to the aspirations of a Welsh economy.
- people of all ages and backgrounds to be able to retrain or upskill through apprenticeships, driving social mobility and inclusive growth.
- increased funding for apprenticeships in growing sectors, such as green energy, digital innovation and healthcare, to future-proof Wales’s workforce.
- Apprenticeship opportunities in every part of Wales to support local economies, reduce inequalities and empower communities.
Speakers at the launch, held at St. David’s Hotel, Cardiff Bay, were NTFW chair John Nash, strategic director Lisa Mytton, FSB Head of Wales, Ben Cottam, Coleg Cymraeg Cenedlaethol chief executive, Ioan Matthews, and Cavendish Cymru director Nerys Evans.
Lisa Mytton, NTFW strategic director, said: “We have launched this manifesto to set out what we expect an incoming Welsh Government to prioritise in their policies and skills strategy to boost the economy of Wales.
“Our mandate to the next government is to ensure that increased investment is available for apprenticeships. We are seeking that commitment from all candidates running for the next Senedd election.”
John Nash, chairman of NTFW, added: “This is an unprecedented moment. We have created an ambitious Manifesto for Apprenticeships that should be essential reading for every Senedd candidate.
“We are seeking a commitment from all political parties that apprenticeships will be at the heart of future Wesh Government policies to grow a prosperous and resilient Welsh economy with a highly skilled workforce.”
Picture caption:
NTFW wants investment in apprenticeships to double to support 200,000 apprentices over the next Senedd term.
Business
Wales bucks the trend as equity deals rise despite UK-wide decline

EQUITY investment in Wales showed resilience during 2024, defying the broader UK trend of declining activity, according to the British Business Bank’s annual Small Business Equity Tracker.
While the UK overall saw equity deals fall by 15.1%, Wales recorded a notable 7.2% rise in equity deal numbers compared to 2023. However, the total value of investments in Wales dropped by 12.1%, settling at £113 million, highlighting ongoing caution among investors.
Supporting this growth, the Investment Fund for Wales (IFW), launched in late 2023, has deployed £18 million from its £50 million equity fund. This investment has drawn an additional £3.1 million from private co-investors, with expectations of increased activity throughout 2025 as IFW managers Foresight expand their deal pipeline.
AI sector leads UK equity growth
Across the UK, artificial intelligence (AI) attracted significantly larger equity deals than other sectors, averaging £8.3 million per transaction—over 40% higher than the £5.7 million national average. At the growth stage, AI investments averaged £36.3 million, more than double comparable sectors, reflecting substantial investor interest.
In Wales, this trend was exemplified by the IFW and Development Bank of Wales’ recent investment in Nisien.AI, a promising Cardiff University spin-out. Nisien.AI is developing advanced AI technology aimed at combating online harms, including digital conflicts, and already works with major global social media platforms. The new funding will support recruitment and R&D, enabling Nisien.AI to launch new digital safety products.
Susan Nightingale, UK Network Director for Wales at the British Business Bank, commented: “Despite a challenging year for equity finance across the UK, Wales has demonstrated resilience with increased deal numbers. However, the overall drop in investment values shows that caution remains prevalent. Encouragingly, AI continues to drive significant value, and companies like Nisien.AI highlight the potential for Wales to become a key player in this transformational sector. We aim to help create the conditions for Wales’ first unicorn to emerge.”
University spinouts reach record heights
University spinout companies across the UK experienced a record-breaking year in 2024, raising £1.9 billion, accounting for 17% of total UK equity investments and 12% of overall deals. Swansea University notably led the Welsh scene, launching 58 spinouts since 2011, ranking ninth in the UK and top in Wales, as highlighted in Beauhurst’s recent Spotlight on Spinouts report.
Business angels continue crucial support
The Small Business Equity Tracker also highlighted the vital role of business angels, with 70% investing predominantly in early-stage businesses. Notably, 64% of surveyed UK angel investors either maintained or increased their investment levels between 2023 and 2024.
The British Business Bank’s initiatives, such as the Female-led Angel Syndication Pilot launched in 2023, have supported this vital investor segment. Women Angels of Wales (WAW), backed by both the British Business Bank and Development Bank of Wales, attracted over 20 investors since mid-2023, closing deals worth £3.8 million. A standout investment was in Kaydiar, a Cardiff Metropolitan University spin-out developing innovative medical devices and prosthetics, demonstrating the impactful role angel investors continue to play in driving early-stage innovation.
-
Crime3 days ago
Milford Haven woman and inmate to appear in court following drugs raid
-
Crime7 days ago
Neyland man admits making indecent images of children
-
Crime6 days ago
Oil refinery worker caught drink-driving on wrong side of the road
-
News6 days ago
Councillor accused of conflict of interest over planning vote on rival venue
-
Crime1 day ago
Robbery at Milford Haven store: Man arrested after stealing vodka
-
News7 days ago
Sentence reduced for driver who caused baby’s death outside Withybush Hospital
-
Crime7 days ago
Rosemarket man avoids jail after breaching court order and stalking victim
-
Business5 days ago
Celtic Holiday Parks in administration as buyer sought