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Council votes to cut Council Tax for second home owners

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PEMBROKESHIRE COUNTY COUNCIL has voted to reduce the Second Home Council Tax premium from 200% to 150%, following a close decision on Thursday, October 17.

The change, set to take effect from next April, comes after a Conservative motion to cut the premium in half was decisively defeated. Currently, second homeowners pay three times the standard rate, with a Band E property’s tax rising to around £7,000 annually, compared to £2,300 for local residents.

The reduction was achieved through an Independent Plus Group (IPG) amendment, which passed by a narrow margin.

SERVICE CUTS OR TAX HIKES FOR LOCALS

Whatever the reasoning behind the Conservative amendment, the debate centred on potential future Council Tax rises and deeper service cuts.

Cllr Jordan Ryan was surely correct when he said that those who supported halving the Second Homes Premium were also those most unlikely to support increasing Council Tax to make up the money lost from the Council Budget in 2025/26.

Cllr Di Clements, Conservative Group Leader, proposed halving the Premium, arguing that the current level risked harming tourism in Pembrokeshire. She said it was important to be honest about how the Council used the money the Premium raised. The original intention of the Second Home Premium was to fund affordable housing. However, it was now being used to buttress the shortfall in the Council’s Budget.

She said she had to wonder about the local authority’s financial stability if it was so dependent on the Premium.

Cllr Clement claimed the Council’s message to second-home and holiday accommodation owners is clear: “We don’t want you.”

Cllr John Cole, who supported Cllr Clement, said the Cabinet member for Finance, Cllr Joshua Beynon, had dismissed second-home owners’ representations about the Premium’s impact.

Cllr Beynon responded briskly to Cllr Cole’s suggestion. He reminded the Merlin’s Bridge councillor that part of the purpose of setting a budget was to weigh evidence and reach a conclusion. On balance, the need to reduce the size of any future Council Tax rise on local residents and preserve essential services outweighed second-home owners’ interests.

He reminded Cllr Clements that the decision to use the money raised from the Premium for general funding was made by the Full Council, not the Cabinet. Cllr Beynon said the issue would be debated during next year’s budget setting.

DIVIDING THE PIE

Cllr Mark Carter raised the issue of how the Coucil Tax Premium operated. Not only the County Council precept trebled, but also the precepts for community councils and policing. He found it hard to justify that the policing precept raised in Pembrokeshire was funding policing elsewhere.

Cllr Beynon replied that he would examine the issue raised and report back. However, he added, he could not tell Dyfed Powys Police where to spend its money.

Former Cabinet Member for Finance Cllr Alec Cormack boiled the debate down to brass tacks and asked the Director of Resources to outline the effects of supporting the Conservative motion.

Jon Haswell replied that each 25% cut to the Premium would reduce the Council’s revenue by £1.3m.

In the context of the Conservative motion, that would lead to an additional £5.2m pressure on the Council’s Budget in addition to the existing £32.8m pressure.

That meant that, even if the Council used £3m of its reserves, in addition to deeper cuts to services, the Council would need to increase Council Tax for 2025/26 by 18.87%.

Cllr Cormack observed that councillors ignored Mr Haswell’s warnings last year, and as a result, they faced even tougher choices next year.

Without making deep cuts, the Budget won’t balance, he added.

Alec Cormack said: “If we cut the Premium today, we are voting for a bigger increase in Council Tax in February.”

RESIDENTS SHOULDN’T BANKROLL SECOND-HOME OWNERS

Cllr Alistair Cameron agreed with reducing the Second Homes Premium but said the Council could not afford to do so because of grave budgetary pressures.

“We are having this difficulty because we are trying to pay for care, provide homes, and care for vulnerable children. We cannot afford to make next year’s Budget any harder than it should be.

Alan Dennison said he did not want his voters in Milford Haven to subsidise second-home owners but wanted to find a middle ground.

Cllr Beynon said that if the Conservative amendment passed, schools’ budgets would suffer a 4% cut next year.

Aled Thomas supported Di Clements. He said that suggesting that the only way to balance the Budget was to increase Council Tax was fundamentally flawed.

Cllr Thomas claimed the administration had sown a seed of division between the Pembrokeshire people, the tourism industry, and second-home owners.

He claimed councillors were being gaslit on the Council’s budgetary pressures.

Cllr Tony Wilcox said that councillors should not pander to a minority interest. His mailbox about the need to cut the Second Home Premium was zero.

He added: “Our residents aren’t affected by this. We cannot penalise our voters to pander to those who can afford a second home.”

Tenby Cllr Sam Skyrme-Blackhall said, “I cannot justify raising Council Tax on our residents to reduce second-home owners’ bills.”

Cllr Paul Miller said the impact on tourism was unknown. However, he added: “If you own properties in Tenby and Saundersfoot and you can’t let them for 182 days a year, you’re doing something wrong.”

THE CASE FOR HOUSING

Michelle Bateman said, “75% of the Premium goes to affordable housing. We must increase all kinds of affordable housing; we will not solve housing problems with social housing alone.

She added that the Council would introduce options for shared ownership and equity in spring.

“Any reduction in the Premium meant fewer people would benefit from those schemes.”

She continued: “Housing must be a priority for this Council. I cannot believe that councillors are justified deferring to a well-heeled and articulate minority ahead of those who need this funding.”

Cllrs Delme Harries and Bethan Price highlighted the lack of benefits the Premium brings to rural wards.

Cllr Mike John intervened to highlight the difference between those who inherited old family homes and contributed to local communities and those who did not, ate up the supply of affordable houses, and rented them out on Airbnb.

Josh Beynon sympathised with Cllrs Harris and Price and said services – especially social care – cost more to deliver in rural areas. However, before the pot of money was divided, the Council needed to know what was in it.

He took Aled Thomas to task. Cllr Beynon said this was not scaremongering. He and officers have tried to explain the position in budget seminars, and he would be happy to come to councillors’ wards to discuss it if they wanted. He emphasised seeking a centre ground that addressed reality.

Mike Stoddart was having none of it. He would support the Conservative motion and believed the policy was economically illiterate.

Huw Murphy sought a more radical solution. The system was overcomplicated, he said. Every residential property in Pembrokeshire should pay Council Tax, Cllr Murphy said, and there are too many properties paying nothing.

SYMPATHY FOR SECOND HOME OWNERS SECOND TO LOCALS’ NEEDS

The Cabinet Member for Housing, Michelle Bateman, responded to the debate.

Addressing Cllr Bethan Price, she said £1.4m of funding was being used to develop affordable housing at Glasfryn in St Davids.

Cllr Bateman continued by saying that her sympathy for second-home owners was outweighed by her sympathy for Pembrokeshire’s homeless and those waiting on the housing register.

Cllr Alec Cormack endorsed Michelle Bateman’s view, saying: “We should think of those with no houses, not those with two houses.

The Conservative motion fell.

COUNCIL BACKS 150% PREMIUM

The Council moved to debate Cllr Huw Murphy’s amendment to reduce the Second Home Premium to 150%

Cllr Murphy kept his remarks brief and to the point. He said he supported the idea of a premium and was keen to explore other ways the Council could use the Premium system to raise money more effectively.

Council Leader John Harvey intervened in the debate.

Cllr Harvey said it was wrong for the Council to prioritise the interests of second-home owners over those of permanent residents.

He observed that Cllr Murphy seemed to have retreated from his position last year, when he supported the 200% Premium, even though nothing had changed since last December when he supported it.

Cllr Harvey added: “We don’t have the data to change horses now, though we might next year.

“What worries me more is the loss of income.”

Jon Harvey asked councillors: “What are you prepared to cut or lose, or are you prepared to increase Council Tax to make up the gap?

“I am not prepared to say I voted to reduce second homes Council Tax and put the burden on residents.”

The IPG amended passed by 30 votes to 26 and slashed the Second Home Premium.

The next task for those who voted to shave £2.6m off the Council’s Budget will be to identify cuts or choose Council Tax increases over and above those already forecast in the Medium-Term Financial Plan.

As Cllr Jordan Ryan cynically suggested, those who voted to cut the Premium have no intention of doing either.

News

Drug misuse in Wales highlighted in new data from ONS

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NEW data from the Office for National Statistics (ONS) highlights the evolving patterns of drug misuse across England and Wales. While the overall drug use rate has stabilized, there are significant regional disparities, with Welsh communities facing unique challenges in tackling substance misuse.

The ONS survey reveals that drug use in Wales aligns closely with the overall trends in England and Wales. Approximately 8.8% of adults aged 16 to 59 reported using illicit drugs in the past year. Cannabis remains the most commonly used drug, but its usage has declined to levels last seen a decade ago. However, some experts warn that Wales faces specific risks due to socio-economic factors prevalent in certain areas.

Drug-related deaths have reached record levels across England and Wales, with 5,448 fatalities recorded in 2023. In Wales, communities such as Swansea, Cardiff, and the Valleys have reported higher-than-average rates of drug poisoning deaths, reflecting challenges linked to deprivation, mental health issues, and access to treatment services.

The North Wales region, in particular, has seen a worrying increase in deaths involving synthetic opioids, echoing a trend observed nationwide. These substances, often more potent and dangerous than traditional opioids, have fueled a rise in fatal overdoses.

Regional disparities in drug misuse

The survey highlights significant regional differences, with Wales showing a slightly higher prevalence of drug misuse in younger age groups. Among 16 to 24-year-olds, 18% reported using drugs in the past year—higher than the England and Wales average of 16.5%. Experts attribute this to factors such as the availability of substances, cultural influences, and economic conditions affecting younger people.

Communities in Wales are mobilising to address these issues. Harm reduction initiatives, such as needle exchange programs and overdose prevention sites, have expanded in urban centers like Cardiff and Swansea. In rural areas, such as Pembrokeshire and Ceredigion, efforts focus on improving access to addiction services and raising awareness about the risks of drug misuse.

In Newport, a pilot program offering free naloxone kits—an antidote to opioid overdoses—has been credited with saving lives. Local charities, including Welsh homelessness organizations, have also played a key role in supporting individuals at risk.

Government and police efforts in Wales

The Welsh Government has prioritized tackling drug misuse through its substance misuse delivery plan.

This includes a £50 million investment in treatment services over the next five years and a focus on harm reduction strategies. Welsh police forces, including Dyfed-Powys Police, have also stepped up operations to disrupt drug supply chains, seizing record quantities of Class A drugs over the past year.

Public health campaigns target Welsh youth

Recognising the higher rates of drug use among young people, Public Health Wales has launched campaigns aimed at educating young adults about the risks of drug misuse. Initiatives like the “Know the Score” campaign are using social media and community outreach to engage with at-risk groups.

The Herald’s perspective

The findings underscore the importance of regional solutions tailored to Wales’ unique challenges. While progress is being made through community initiatives and government funding, the persistent disparities in drug misuse and related deaths highlight the need for sustained investment and innovation in public health.

For Welsh readers, these statistics are a sobering reminder of the impact of drug misuse in our towns and cities. The Herald will continue to shed light on this issue, amplifying the voices of those working to create safer, healthier communities across the nation.

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News

Pembrokeshire loses out as Labour ‘rewards its heartlands’

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THE HEADLINE figure is an average rise in Welsh local authority budgets by 4.3%. Every Welsh rural council got less than that.

From Monmouthshire in the east to Anglesey in the north to Pembrokeshire in the west, the funding bonanza trumpeted by the Welsh Government as part of the best financial settlement since devolution turned into a damp, wet fart. No rural authority got the average settlement; only Carmarthenshire came close with a 4.1 increase. Meanwhile, Labour councils in the Valleys and metropolitan areas all experienced above-average rises in Welsh Government funding.

Not impressed: Pembrokeshire’s Sam Kurtz MS has blasted the Welsh Government

Local MS Sam Kurtz said, “It’s clear that the Welsh Labour Government is looking after their heartlands first and foremost as we run up to the Senedd election and is ignoring the needs of others.

“Delivering services in rural areas costs more; it’s the rural premium, but for the Welsh Labour Government to ignore this shows them at their worst.

“Carmarthenshire and Pembrokeshire county councils are asked to do more and more. It’s only right that they are supported correctly to deliver those services. Sadly, this provisional settlement falls well short of what is required.”

WG “TAKING PEMBROKESHIRE PUBLIC FOR FOOLS”

County Councillor Aled Thomas JP says Labour is taking the Pembrokeshire public for fools

Pembrokeshire Conservative county councillor Aled Thomas said: “Labour is taking the Pembrokeshire public for fools, claiming that today’s announcement is good for Pembrokeshire when the reality is that our rural communities are being left behind once again.

“Labour is giving with one hand and taking away with the other, with a significant proportion of this additional money already spent on increased national insurance contributions.

“Pembrokeshire’s Labour cabinet member for finance must now commit that this money will be spent on core services and not wasted on vanity projects as we have seen time and again in the county.”

Whether Josh Beynon, Pembrokeshire County Council’s Cabinet Member for Finance, rises to that challenge remains to be seen. Our request for a response to the Welsh Government’s funding settlement for Pembrokeshire was refused.

SETTLEMENT SHOWS WHERE LOYALTIES LIE

The Independent Group was not as shy.

“The Welsh Government settlement lays bare where their true loyalties lie and the battleground for Senedd 2026 where Labour will concentrate their resources on protecting their established strongholds at all costs. “They may deny it, but that’s the appearance with healthier WG settlements of above 5% for Cardiff, Newport and Merthyr compared to 3.6% for Pembrokeshire, Ceredigion and Anglesey and even less for Gwynedd at 3.2%. Inflation is currently at 2.3%, meaning the real increase for Pembrokeshire is around 1.3%, and higher inflation over the next few months will erode the value of this settlement further.

“Furthermore, all local authorities are currently having to accept the consequence of the Chancellor’s rise of National Insurance, with Mark Drakeford revealing that there will be no decision from the UK government on NI compensation for public sector employers until May 2025, meaning much of the additional AEF will have already been swallowed up, a decision that needs to be taken sooner rather than later many would suggest.”

CONSULTATION UNDERWAY

The Independent Group spokesperson continued: “Today launches six weeks of formal consultation on the settlement for 2024-25, ending on Friday, January 24, 2025.

“We hope that the current administration will use this process to articulate the concerns of many, that the settlement is not sufficient to cover the financial pressure faced by Pembrokeshire and argue for additional support, even if targeted towards areas of significant concern such as Social Care.

“The reality for us in Pembrokeshire is that providing the services our residents expect and rightly deserve has just become a lot more difficult with this settlement, which can only be described as disappointing.

“As a direct result of this AEF settlement, we will inevitably face a higher than wished-for Council Tax rise in April 2025, and much of the responsibility will sit with Cardiff.

“Pembrokeshire has the joint highest second home council tax in Wales, and we will almost certainly increase the level of tax on empty homes. Many of us in County Hall cannot be accused of shirking tough decisions that best serve our residents.

“We have significant Social Care pressures, which is a common theme across all Welsh local authorities. We have many schools falling into deficit, with Ysgol y Preseli, Milford Haven & Greenhill in dire need of a total overhaul to provide the facilities our young deserve. We hope that the Welsh Government will see fit to allocate Pembrokeshire a generous element of the £1.04bn for the capital grant they have provisionally allocated in this settlement for all of Wales. The continuation of the 40% business relief for tourism, hospitality and leisure businesses is welcomed for an industry that employs 23% of our working population.

COUNCIL TAX AFFORDABILITY CRUCIAL

“The Independent Group will focus on the need to protect essential services whilst addressing the ability of hard-pressed households to afford further Council Tax rises next April.

“In a week when the local authority, partner agencies, and many volunteers have stood up to Storm Darragh’s challenges, the least our residents deserved was more bad news with today’s Welsh Government settlement for Pembrokeshire.

“Storm Darragh’s impact highlighted the need for careful management of Council reserves. Using up reserves cannot continue year on year. Therefore, any proposal for their future use must be carefully considered before we can support it. Once used, these reserves are not available for future eventualities.

“Without additional support, this settlement will result in even higher Council tax bills in four months.”

The spokesperson concluded: “As the largest opposition group within County Hall, we will hold this administration to account in the forthcoming weeks and months prior to setting the Council Tax for 2025/26. We will be critical friends in this task and will not shirk from asking difficult questions.”

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Crime

Dozens of alleged litter offenders to face court in Haverfordwest

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HAVERFORDWEST MAGISTRATES’ COURT will hear a series of littering cases tomorrow, with individuals from across Pembrokeshire and beyond accused of offences under the Environmental Protection Act 1990. The cases primarily involve cigarette butts being dropped and left in public spaces, with locations spanning Pembroke Dock, Haverfordwest, Tenby, Milford Haven, and other towns.

The following individuals are set to appear:

  1. Nathan Abbott, 30, of Hakin, Milford Haven
  2. Alex Austin, 49, of Malvern, Worcestershire
  3. Tim Benfan, 36, of Rugby, Warwickshire
  4. Anthony Bevan, 39, of Pembroke
  5. Melissa Bevan, 43, of Pembroke
  6. Arron Bridges, 23, of Crundale, Haverfordwest
  7. Daniel Brooks, 38, of Tenby
  8. Dale Brown, 38, of Milford Haven
  9. Stephen Charkes, 62, of Llanelli
  10. John Cotton, 60, of Ledbury, Herefordshire
  11. Chaves De Oliveria, 24, of London
  12. James William Gwyn Dewhurst, 38, of Haverfordwest
  13. Kevin Filer, 66, of Milford Haven
  14. Barry Frost, 64, of Bradford, West Yorkshire
  15. Andrew Griffiths, 41, of Aberdare
  16. Robert Jeffrey Hamblin, 42, of Pembroke
  17. Victoria Hodgson, 34, of Pembroke
  18. Gerald Maddocks, 40, of Haverfordwest
  19. Deana Sophia Mead, 31, of Milford Haven
  20. Jacqueline Niblett, 63, of Hengoed
  21. Micheal Raymond, 55, of Cowbridge
  22. Shaun Tuxker, 38, of Haverfordwest
  23. Liam Unsworth, 27, of Narberth
  24. Shaun Manche, 41, of Milford Haven
  25. Chelsea McLaren, 29, of Narberth
  26. Marian Radoi, 40, of Haverfordwest
  27. Leah Reynolds, 31, of Haverfordwest
  28. James Stewart, 44, of Pembroke Dock
  29. Andrew Stokes, 53, of Stourport-on-Severn
  30. Nicola Wilkins, 48, of Swansea
  31. Rhys R Williams, 24, of Tonyrefail
  32. Ryan Williams, 45, of Swansea
  33. John Wright, 41, of Pembroke Dock

Each case involves allegations of littering, primarily cigarette butts, in public places such as streets, car parks, and parks across Pembrokeshire. Offenders face maximum penalties of up to £2,500 under Section 87 of the Environmental Protection Act 1990.

Authorities hope these proceedings will serve as a reminder to the public about the importance of maintaining clean and litter-free communities.

Pictured: Litter enforcement officer in Haverfordwest (Image: File)

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