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Business

Holiday let crackdown puts ‘thousands of Welsh jobs at risk’

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PASC warns tourism sector could buckle under 182-day rule

HOLIDAY let owners across Pembrokeshire and the wider Welsh tourism industry say they are being pushed to breaking point by “brutal” tax changes that could cost thousands of jobs, force businesses to close, and lead to mental health crises among struggling operators.

The Professional Association of Self Caterers (PASC UK) says Welsh Government reforms introduced in 2023—intended to free up housing stock for local people—are having unintended and damaging consequences.

Under the new system, self-catering properties must be made available to let for at least 252 days a year and actually let for 182 days in order to qualify for business rates. Failing that, they are classed as second homes and liable for full council tax—often with steep premiums of up to 300% applied by local authorities.

The Herald understands that many operators, particularly in rural Pembrokeshire and west Wales, are simply unable to meet those targets during the quieter winter months, and are now receiving council tax bills running into tens of thousands of pounds.

One such case, cited by PASC, involved a farming family—previously encouraged by Welsh Government policy to diversify into tourism—who were hit with a £37,000 bill after falling short of the 182-day threshold.

Nicky Williamson, chair of PASC Wales, said: “Without this bed stock, we simply won’t have the capacity to house tourists. And if the tourists stop coming, the pubs, the cafés, the shops—everyone suffers. This is a domino effect that could be catastrophic for our communities.”

She added: “The mental health strain is immense. Operators are telling us they’re lying awake at night worrying about unexpected council tax demands. The uncertainty is brutal.”

A recent PASC survey found that 94% of respondents reported increased stress levels, with 60% saying they did not expect to meet the 182-day requirement this year.

DISCOUNTS, PANIC AND EMPTY HOMES

Karen Jones, who operates a holiday cottage business in Conwy county, said she and her husband had resorted to offering 20% discounts during February and March to lure back regulars. “If a booking cancels, panic sets in. We delay maintenance work, we scramble to fill gaps—it’s unsustainable.”

Frankie Hobro, who owns Anglesey Sea Zoo, said visitor numbers had fallen more than 20% since 2023. She directly linked the drop to the 182-day rule and fears the knock-on effects could be devastating.

“We’re seeing huge numbers of empty homes up for sale—but they’re not being bought by local families. They’re being snapped up by corporate buyers who can afford to keep running them commercially. That doesn’t help communities—it does the opposite.”

The closure of Oakwood Theme Park in Pembrokeshire last month has already sent shockwaves through the sector, and Hobro warned that more businesses could follow unless action is taken. “We’re sleepwalking into a tourism crisis,” she said.

‘TOO FAR, TOO FAST’

William Matthews, who runs Oyster Holiday Cottages in north Wales, told The Herald: “We understand the principle—these homes shouldn’t just sit empty all year. But the bar has been set too high, too fast. There needs to be more flexibility.”

Matthews said his agency had always tried to extend the season into the so-called ‘shoulder months’, but the weather and school term patterns often made it impossible to reach 182 days of bookings. “This rule may have tipped the balance too far,” he warned.

BALANCING HOMES AND JOBS

Welsh language campaign group Cymdeithas yr Iaith has supported the changes, arguing they help reduce the dominance of second homes and rebalance the housing market. Spokesperson Jeff Smith said: “We need to prioritise local people who are being priced out of their own communities. This policy helps make housing more accessible.”

The Welsh Government defended the move, saying: “We recognise the importance of tourism to the Welsh economy, but must balance that with the needs of our communities. Everyone has the right to a decent, affordable home.

“Our package of measures is designed to ensure that second home owners and holiday let operators are contributing fairly to local services and infrastructure.”

Figures show around 159,000 people are currently employed in tourism across Wales, many in coastal and rural communities like Pembrokeshire. PASC has warned that without a rethink, a significant proportion of those jobs could be at risk in the coming years.

Business

Help to Buy Wales extended – new homes in Haverfordwest available through scheme

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THE WELSH GOVERNMENT has extended the Help to Buy – Wales scheme until September 2026, offering new opportunities for buyers to secure a property at the Augustus Grange development in Haverfordwest with financial assistance.

The scheme enables eligible buyers to purchase a new-build home valued up to £300,000 with just a five per cent deposit. The remaining amount is covered by a 75 per cent mortgage and a 20 per cent shared equity loan, which is interest-free for the first five years.

Five-star housebuilder Lovell Homes, which is delivering the development in partnership with Pobl Group, is encouraging potential buyers to explore the scheme’s benefits. Located off St David’s Road, Augustus Grange comprises 115 two and three-bedroom homes and lies just six miles from the Pembrokeshire Coast National Park.

Unlike some support schemes, Help to Buy – Wales is open not only to first-time buyers but also to existing homeowners looking to move.

A number of three-bedroom properties are currently available at the site, including the popular Lambourne and Lansdown designs.

Suzie Hewitt, regional sales director at Lovell Homes, said: “Help to Buy – Wales is a brilliant initiative and we’re delighted that it has been extended to 2026. For many, buying a home is the biggest financial step they’ll take, and this scheme makes that step more accessible.

“We’re offering a range of high-quality homes under £300,000 at Augustus Grange – perfect for first-time buyers, growing families, and those looking to rightsize. We encourage anyone interested to contact our sales team.”

Haverfordwest, the historic county town of Pembrokeshire, offers a mix of heritage and modern amenities. With its 12th-century castle, riverside walks along the Western Cleddau, a selection of shops and restaurants, and good transport links, it’s an attractive location for both families and commuters.

The Augustus Grange marketing suite is open daily from 10:00am to 5:00pm. For further information, visit newhomes.lovell.co.uk/developments/augustus-grange-haverfordwest or call 01437 468024.

Terms and conditions apply. Full details on the Help to Buy – Wales scheme can be found at lovell.co.uk/offers/help-to-buy-wales.

Lovell Homes recently received a Gold award for customer service from In-house Research, with 93.6 per cent of South Wales and West customers saying they would recommend the company to friends and family.

Follow Lovell Homes:

  • Facebook: facebook.com/lovellhomes
  • Instagram: @lovell_homes
  • LinkedIn: @LovellPartnershipsLtd
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Business

Big changes made to major Cosheston solar farm development

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AMENDMENTS to a previously granted scheme for a south Pembrokeshire solar farm by using higher specification panels which would actually see less land covered have been approved by county planners.

Last year, plans for a nine-megawatt solar farm at West Farm, Cosheston, near Pembroke Dock by James Wallwork of One Planet Developments Limited were approved by Pembrokeshire County Council.

The applicants said the scheme would generate enough power for 2,500 homes.

The scheme was initially recommended for refusal before a later recommendation for approval at last March’s planning committee; the scheme supported by Cosheston Community Council, which said the plans would be a natural rounding-off of the site, with no detrimental impact as it would neighbour the existing solar farm.

A supporting statement, through agent Mango Planning & Development Ltd, said: “The proposed development would contribute circa 9,337,000 KWh of renewable electricity to the local area, which will typically produce enough green electricity a year to power about 2,500 homes.

“The proposed development is for a temporary 40-year timescale and will be fully reinstated at the end of its operational life. There will be no loss of agricultural land.”

After last year’s approval, the applicants had asked for a change of planning conditions.

A supporting statement accompanying the amendment request says: “Subsequent to the grant of consent, the applicant has been advised that the solar panels originally proposed are no longer available. It is necessary, therefore, to substitute these with an alternative type.”

It says the proposed alternative panels would be slightly larger in size but “as a consequence of the improved specification of the proposed panels, a reduced site coverage is required to achieve the originally agreed output,” adding: “In particular, it is not now necessary to provide arrays in the small field at the east of the application site.”

The proposed amendments have been approved by planning officers.

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Business

Permission for new Jeffreyston charcuterie business refused

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A SCHEME for a rural Pembrokeshire One Planet Development, which would eventually include a charcuterie business using meats from a rare breed ‘flerd’ and a ‘natural health service’ has been turned down by county planners.

In an application to Pembrokeshire County Council, Malcolm and Nichola Blunsden sought permission for the One Planet Development including a three-bed house, polytunnel and a freestanding photovoltaic array at Covert View, some one kilometre from the village of Jeffreyston, near Kilgetty.

A supporting statement through agent Sureline Design Services Ltd said of the applicants: “They have experience of managing this piece of land and are excited to have the opportunity to develop their ideas for an eco-house, rare breed ‘flerd’ [mixture of a flock and herd], a charcuterie business and a ‘natural health service’ that brings local community groups and schools closer to nature.”

Covering a five-year plan, it says the applicants would produce 56 per cent of their own food, with a small vegetable garden and polytunnel as well as a flock of chickens and ducks for eggs and meat, and will also keep geese, sheep, pigs and cattle for meat; the main enterprise on site will sell fresh meat and charcuterie products from the sheep, pigs and cattle.

“In addition to this they will develop a subsidiary enterprise based on community groups and general public visiting the site for educational and therapeutic purposes,” the statement adds.

Detailing the ‘Cleddau Charcuterie’ proposal, it says: “The overall objective is to use traditional rare breeds of Welsh farm animals, raise them in a dynamic ‘flerd’ (mixture of a flock and herd) to create a rich tapestry of diverse meadows in a regenerative ‘mob’ grazed system whilst also building soil carbon.”

It says the meats produced will be slaughtered and butchered locally and then cured in a purpose-built meat curing room, this will be located in one of the existing farm buildings on site.

“Research undertaken by Malcolm suggests a high demand for locally produced fresh meat as well as charcuterie products with known origins and high animal welfare.  The nearest producer for charcuterie is currently in Powys.”

An officer report, recommending refusal raised concerns about the robustness of financial figures and realistic possibility of achieving them, with “almost 90 per cent of the projected income would come from a single source, namely meat products production,” adding: “There is no supporting evidence from local schools or groups for a demand for the services offered. It is considered that there is not sufficient certainty to conclude that a significant proportion of the applicants’ food and income needs would be met on the site within five years”.

It also raised concerns about insufficient water resources on the site with a borehole required for drinking water.

The application was refused by planners.

Since the refusal, the application is listed as having an appeal against the decision lodged.

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