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Politics

Taxpayers hit with £5.25m bill for botched power station contract

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TAXPAYERS will foot the bill for a £5.25m settlement after a legal claim over the awarding of a demolition contract for Aberthaw power station, a committee heard.

The Cardiff Capital Region (CCR) lost a high-court legal challenge brought by a losing bidder, Brown and Mason Group, which concluded in February.

The former coal-powered station, near Barry, was acquired for £8m by the city region in 2022 as part of the £1.2bn city deal, with contractors Erith beginning demolition work last year.

Today, Mary Ann Brocklesby, who chairs CCR – made up of ten councils in south-east Wales – gave an update to the Senedd, telling the economy committee: “The amount of the settlement for the Aberthaw demolition procurement process… was £5.25m.

“I’m not able to say much more at this point because we are undergoing an independent review which we commissioned as political leaders to set in train precisely at the point that we knew we were going through a legal process.”

Cllr Brocklesby, who leads Monmouthshire Council, said: “We had to wait until that legal process was over before that independent review could start. “We are awaiting the findings which – subject to legal caveats – we will be making public.”

Kellie Beirne, chief executive of the south-east Wales CJC and CCR, added: “We’re taking this extremely seriously, we recognise the gravity of it and again yes, [it’s] something that we don’t come and report.

Kellie Beirne, chief executive of the Cardiff Capital Region
Kellie Beirne, chief executive of the Cardiff Capital Region

“Apologies again for the short notice but we had clearance, we briefed our internal stakeholders and we felt it important to be as transparent as we possibly could by conveying that this morning at this committee.

“As Cllr Brocklesby has said, we have now commissioned a full independent review – emphasis on independent, that’s really important – we’ve stayed in lockstep with Audit Wales throughout this process.

“When that review concludes and we have findings, we’ll be able to be much more open about what happened and take steps to ensure that this can’t happen again.”

Asked whether the court case has impinged on work at the 500-acre site, Cllr Brocklesby insisted: “No, it continues at pace.”

Andrew RT Davies, the Conservative chair of the committee, said: “When you came before this committee in September 2023, Kellie you said that £40m is but a drop in the ocean.

“I think the words you used were hundreds of millions of pounds will be required. Obviously, this court case has not helped instill confidence in the private sector in coming on board as partners… so, how are you progressing in that goal?”

Cllr Brocklesby replied: “Let’s look at the wider ecosystem of CCR: one of the absolute strengths of it is that we have people across the region who are highly valued within their own sectors… who are highly respected not just in Wales but globally.”

She added: “In terms of the future of Aberthaw, it does actually look very bright and we’re not feeling any effects from the impacts of this highly regrettable procurement issue.”

Ms Beirne said the CCR does not have deep enough pockets for what Aberthaw requires following the initial demolition and remediation phase.

Politics

Future generations law ‘lacks teeth and funding’

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AN AMBITIOUS law aimed at ensuring future generations in Wales have at least the same quality of life as today lacks teeth and has a laughable budget, a committee heard.

The Senedd’s equality committee took evidence as part of follow-up scrutiny a decade on from the Welsh parliament passing the Wellbeing of Future Generations Act in 2015.

Labour’s Mick Antoniw warned the Act, which aims to put sustainable development at the heart of decision making, lacks impetus and risks being a “bureaucratic tick-box exercise”.

Mr Antoniw, who was involved in early stages of scrutiny of the then-bill, said: “It started off… as a sustainability bill until no one could actually define what they meant by sustainability… came up with the term future generations and… that might be seen to be equally nebulous.”

As well as describing the Act as vague, the former minister suggested Wales’ future generations commissioner has few – if any – powers to hold public bodies to account.

He said: “I always thought that was a mistake right from the beginning, [you] don’t give it proper teeth to actually have the impact that shifts decision making.”

Calvin Jones, an environmental economist, said the commissioner and his predecessor told him their only “big stick” is to “name and shame” which they are reluctant to do. “As soon as you get the stick out, people take their eyes off the carrot,” he said.

 “There’s this constant tension between wanting to chivvy the laggards along but realising once you get a reputation as somebody who’s an auditor effectively then games start being played and boxes start being ticked.

“That tension has always stymied the way in which the commissioners have been prepared to name and shame which was, I think, the only serious bit of teeth in the Act.”

Prof Jones, who left Cardiff University in May, suggested Audit Wales should have more of a role in holding public bodies to account in a similar way to their bookkeeping duties.

He warned of a major lack of funding for the commissioner’s office, describing the money allocated by the Welsh Government as akin to using a sticking plaster on the Titanic.

“Let’s remember we are trying to guide a £30bn public sector with a body which is funded to the tune of £1.6m per annum,” he told the committee. “Now that is absolutely laughable.”

The academic called for a legal duty to ensure at least a 0.1% “haircut” for every public body captured by the Act, generating a total of about £30m a year. “Without that, any future government that wants to hobble the office will just not give it money,” he said.

Eleanor MacKillop, a research associate at the Wales Centre for Public Policy, raised concerns about institutional complexity, with corporate joint committees, public services boards, regional partnership boards, corporate safeguarding boards and councils in Wales.

Jenny Rathbone, who chairs the equality committee, asked how the Act affects people’s daily lives, suggesting public bodies have failed to grasp it as a means to drive change.

Labour MS Jenny Rathbone
Labour MS Jenny Rathbone

Caer Smyth, a law lecturer at Cardiff University, said: “There’s not a clear way that an individual can see how the Act affects their right that they can then go and hold a body to account for. It is, I think, more opaque for that reason compared with other commissioners.”

Giving evidence on June 23, Prof Jones warned of a culture of “box ticking and backside covering” hampering innovation and transformation in the Welsh public sector.

He said: “We have consensus politics in Wales: it’s a consensus of 19 rabbits and a polar bear – the polar bear says what happens and all the rabbits say ‘yes sir, yes ma’am’.”

He questioned the ambition of some public bodies’ wellbeing plans, saying ministers similarly fail to set themselves stretching milestones and timescales they can be held to.

Prof Jones reflected on then-First Minister Mark Drakeford’s decision to scrap plans for an M4 relief road, pointing out that the decision letter did not refer to the Act as a reason.

He told the committee: “He said it’s because it’s too expensive and we have a different view of the environmental costs and a part of me thought: is that deliberate because if he places this ‘no’ on the basis of the Act, it’s going to be open to judicial review?”

But, on the other hand, Prof Jones said it would be difficult to imagine the Drakeford-led government pushing ahead with policies such as the default 20mph without the Act.

In written evidence, Derek Walker, who succeeded Sophie Howe in 2023, said the Act contains no specific enforcement mechanisms – making judicial review the only option.

The future generations commissioner wrote: “This is a difficult and costly procedure. It might mean only a class of people rather than individuals can use it.

“I understand that none of the very few attempts to use the Act in judicial review have obtained permission from the court to proceed.”

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Tufnell joins Labour welfare rebellion as frontbench crisis looms

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Only three Welsh MPs break ranks as Starmer faces biggest revolt to date

A MAJOR rebellion is erupting inside the Labour Party, with 108 MPs—including Welsh frontbencher Henry Tufnell—signing a motion to block controversial welfare cuts, in what has been described as the biggest internal revolt since Keir Starmer became leader.

The MPs have backed a reasoned amendment that would kill off the government’s new Welfare Reform Bill at its second reading, arguing the proposals would “strip support” from hundreds of thousands of disabled people and low-income claimants across the UK.

Among the signatories is Henry Tufnell, Labour MP for Mid and South Pembrokeshire, who currently serves on the Labour front bench as a Parliamentary Private Secretary in the Shadow International Development team.

Tufnell’s decision to break ranks has put him on a collision course with party whips and leadership figures, with Angela Rayner warning that Labour MPs who defy the official party line may face disciplinary consequences.

Risking his role

Sources inside Westminster suggest several Labour frontbenchers are now “considering their positions”, and may resign rather than vote against the amendment or abstain. Tufnell’s decision to sign the motion is likely to trigger calls for him to either resign his PPS role voluntarily or face the sack.

Speaking to The Herald, a party insider said: “It’s rare for a frontbencher to back a reasoned amendment against party policy. Tufnell will be under serious pressure to explain his decision—and potentially step down.”

The vote comes amid widespread concern over the government’s plan to cut £5 billion from welfare spending, including changes to Personal Independence Payments (PIP) and stricter Universal Credit assessments.

Welsh voices divided

Of the 27 Labour MPs representing Welsh constituencies, just three have signed the amendment, highlighting a cautious approach from most Welsh representatives. While their names have not all been confirmed publicly, only Tufnell holds a frontbench post among them.

The Welsh Government has previously criticised UK benefit reforms, but has stopped short of direct confrontation over the latest proposals.

One disability rights campaigner in Cardiff told The Herald: “It’s disappointing to see so few Welsh MPs take a stand. Tufnell should be applauded for putting principle above position.”

The stakes for Starmer

The rebellion is particularly damaging for Keir Starmer, who has tried to present Labour as a party of “discipline and government readiness.” With more than a quarter of his MPs now defying the whip, the amendment has become a litmus test for party unity.

The vote on the bill is expected later this week, and could see Labour leadership punish MPs who support the amendment—potentially withdrawing the whip or removing them from internal positions.

The party has not confirmed whether it will allow a free vote, abstain, or formally oppose the amendment—but the rebellion shows growing backbench unrest over Labour’s positioning on social justice issues.

Why this matters for Pembrokeshire

  • If Tufnell is forced to resign, it may weaken local influence in Labour’s policy-making.
  • Disability charities in Wales warn that cuts could disproportionately affect rural and coastal communities with fewer support services.
  • The row highlights the gap between Labour’s leadership and its grassroots members, especially on issues of poverty and welfare.
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News

40,000 jobs supported by £600m this government term

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DIRECT Welsh Government investment in businesses totalling in excess of £600m has seen more than 40,000 jobs created or safeguarded across Wales during this government term.

As part of the £600m, the Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans is today announcing close to £10m to support close to 700 jobs at three businesses across Wales.

Through investment made in loans, equity and grants, the Welsh Government is making significant progress delivering on its commitment to building a stronger, fairer, and greener economy.

Boccard UK Ltd, based in North Wales, is receiving Economy Futures Funding of £1.2m to secure a move to a substantial new unit and significantly increase its fully digitised manufacturing capacity.

This will help the company, which is headquartered in France, to retain its market leading position in the nuclear sector in Wales, safeguarding 59 jobs and creating in excess of 150 new positions.

An £8m Welsh Government investment is also contributing to safeguarding 325 jobs at WEPA, in Bridgend.

It is part of a significant investment by the company, which specialises in the production and distribution of sustainable hygiene paper and innovative hygiene solutions, to reduce energy consumption at its Maesteg site and boost production capacity.

Further funding of £540,000 is also helping bring an old factory, which closed in 2022 with the loss of 60 jobs, back into use in Clydach Vale, near Tonypandy.

Coppice, an international manufacturer and supplier of packaging to the food industry will create 83 jobs at the new operation, with this number potentially increasing to 150 in the next five years.

Speaking during a visit to Boccard’s new site in Deeside, Flintshire, Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans, said:

“The Welsh Government is proud that we have supported over 40,000 jobs since the start of this Senedd term through our business support programmes. We have rolled our sleeves up to deliver for businesses, communities, and thousands of workers across Wales – like those here at Boccard, which is exactly the sort of overseas-owned company we are looking to attract at our Investment Summit later this year.

“From direct business support to property investment and long-term regional planning, we are not just supporting businesses and job creation but building the infrastructure and conditions that will enable Welsh businesses to grow, invest, and future-proof their operations.

“We will continue to make Wales a place where good jobs, strong businesses, and thriving communities are the foundation of a stronger, fairer, and greener economy.”

Douglas McQueen, Managing Director of Boccard UK, said: “Boccard is delighted with the support from the Welsh Government in securing the Economy Future Funding, which underpins our commitment to creating highly skilled jobs in Deeside. This is growing the UK’s nuclear and industrial supply chain which is key in our challenge to meet net zero targets.”

Leon Elston, Managing Director of Coppice/Sirane, said: “We are delighted to announce the establishment of our new manufacturing facility, following the recent acquisition of Sirane. This exciting expansion marks a significant milestone for the Coppice Group, further broadening our food packaging portfolio and reinforcing our position as a market leader in sustainable packaging solutions.

“Our continued success is rooted in strong employee engagement and meaningful collaboration with the communities in which we operate. The opportunity to invest in the Cambrian site and support employment regeneration in the Rhondda was a compelling factor in our decision. This new facility provides a strategic platform to scale operations and enhance our presence in both current and emerging markets, whilst making a positive contribution to the local economy.

“This project has been made possible through the invaluable support of the Welsh Government. Their funding played a pivotal role in our investment decision and enabled the development of this purpose-built manufacturing site.

“As we move forward, we extend our sincere thanks to the Welsh Government for their continued collaboration and commitment to Coppice’s ambitious growth plans. The integration of Sirane and the Cambrian facility will be instrumental in achieving our mission to be the global supplier of choice for sustainable packaging.”

WEPA Mill Manager Jordi Goma-Camps Trave said: “We highly appreciate that the Welsh Government supports this important project for WEPA. It will not only improve the sustainability of our manufacturing process, but also increases our production capacity and contributes to the future viability of the site.”

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