News

National Insurance rise creates black hole in council budget

Published

11 months ago

June 12, 2025

THE PEMBROKESHIRE HERALD has confirmed that Pembrokeshire County Council faces significant budget pressure due to Labour’s hike in employers’ National Insurance contributions (NICs).

The pressures stem not only from the local authority’s obligation to pay increased NICs for its own staff, but also from the added costs passed on by external service providers — particularly in social care — who are also affected by the rise.

SETTING A BUDGET BLIND

When former Cabinet Member for Finance Josh Beynon presented this year’s budget, he flagged the potential risks the NIC increase posed to the Council’s finances in both the current and following financial years. However, at the time, due to the UK Government’s delay in confirming its funding plans, he did not know whether the full NIC increase would be covered.

The Welsh Government has claimed it lobbied Westminster to ensure the full increase would be funded, avoiding in-year pressures on already stretched council budgets.

Instead, a combination of Westminster funding and Welsh Government reserves will cover around 85% of the increase. Whether that support remains in place beyond the current financial year is unclear. Once the first two years of the current spending review period end in April 2027, further funding looks unlikely.

NI RISE WILL HIT COUNCIL SERVICES

Even absorbing a fraction of the cost will have a significant impact on Pembrokeshire’s budget.

We asked the County Council to outline the scale of the impact.

Cllr Alistair Cameron, Cabinet Member for Finance and Efficiency, said: “We have been advised that the UK and Welsh Governments will meet circa 85% of the cost of raising the employer’s National Insurance contribution rate. This leaves Pembrokeshire County Council with an in-year pressure of approximately £0.75m. This will also be a pressure for the 2026–27 budget.

“The Council delivers many of its statutory functions through external organisations (such as social care providers). I understand they are not receiving any compensation for this added expense. This will, therefore, add an estimated £2m to their cost base. I fear they will be looking to the Council to meet the additional costs.

“Pembrokeshire County Council is already working hard to plan for next year’s budget, and we will have to take account of this shortfall, along with other pressures, including UK and Welsh Government funding settlements and rising demand for statutory services such as social care.

“We have made significant cost savings over several years and are trying to run our services as efficiently as possible while responding to public need.

“We will be consulting with the Pembrokeshire public on different budget options, but it will not be easy.

“The final decision on next year’s budget rests with Full Council. We aim to discuss all options with the political groups and non-aligned councillors to try to reach an agreement that best serves the people of Pembrokeshire.”

SOCIAL CARE IN CRISIS

The increase in NIC has already led to warnings that the social care sector in Wales faces a £150 million funding gap.

An increase in employer NICs from 13.8% to 15%, alongside a reduction in the earnings threshold from £9,100 to £5,000, is expected to hit the sector hard.

These changes equate to a 37% rise in NICs for an employee earning £25,000 — equivalent to the Real Living Wage.

Combined with the increase in both the National Minimum Wage and National Living Wage, these changes are set to add tens — or even hundreds — of thousands of pounds in additional annual staffing costs for care homes.

In Pembrokeshire, one major care provider has already reorganised its staff structure and reduced the number of full-time equivalent posts. Smaller providers are also being forced to cut back on where and how often staff work in a bid to control costs.

The Nuffield Trust, an independent think tank, has warned that the Chancellor’s policy decisions could see “swathes of the social care market [collapse] under these extra cost pressures.”

If social care provision fails to keep pace with demand, the resulting pressure on the NHS will inevitably grow. In Pembrokeshire — with one of the oldest populations in Wales — that could prove disastrous.

To maintain care levels and ensure service users’ dignity, Pembrokeshire County Council would be left with two stark choices: cut other services, raise council tax, or most likely, both.

Whether Rachel Reeves has considered that consequence is unclear — particularly in light of the continuing prioritisation of the NHS, which is exempt from the NIC rise, and the lack of investment in the wider system that props it up.

Charity

Milford Haven Beer Fest set for Bank Holiday return

Published

2 hours ago

May 6, 2026

Tom Sinclair

Festival promises live music, Welsh ales and community spirit at the waterfront

MILFORD HAVEN Beer Fest is set to return later this month, with organisers promising another packed day of live music, craft drinks and festival atmosphere.

The popular annual event will take place at Milford Waterfront on Saturday, May 23, inside the Ascona Group Marquee, with doors opening at 12:00pm.

Organisers say no advance tickets will be available, with entry operating on a first come, first served basis. Another sell-out is expected and early arrival is strongly advised.

A wide range of Welsh breweries and drinks producers will be represented, including Tenby Harbwr Brewery, Bluestone Brewing Company, Gethin’s Cider, Mantle Brewery, Gower Brewery and Core of the Poodle.

Tiny Rebel Brewery will also be serving lagers, IPAs and its new stout, Coal Drop, while Barti Rum will showcase its latest canned drinks. Prosecco and Pimm’s will also be available.

Entertainment throughout the day will be hosted by Pure West Radio, with headliners 4th Street returning to the waterfront.

The line-up also includes a DJ set from former Welsh rugby international and British and Irish Lion Josh Navidi, alongside performances from Steve Bartram, Big Chicken, Jake Taylor, Function 22 and Natalie O’Brien.

Festivalgoers will also be able to enjoy a street food zone featuring Grub Tacos, Junkyard Dogs and Reeves BBQ.

Community support

Nathan Rees, chairman of Milford Haven Round Table said: “The Beer Festival is a huge highlight for us – not just for the atmosphere, but for the impact it has.

“Every penny raised goes back into the community, funding events like our Carnival and Fireworks and supporting local causes.

“We’re also incredibly grateful to The Ascona Group for their continued sponsorship and to the Port of Milford Haven for their ongoing support as our Major Events Partner, as well as all the Beer Festival sponsors for 2026.”

Ticket information

Entry costs £25 and includes four drink tokens, a festival cup and live entertainment throughout the day.

Additional drink tokens will cost £2.50 each, with cash and card accepted.

The event is strictly over-18s only.

Organisers say there will be a 100 per cent bag search policy, with visitors strongly advised not to bring bags. Free water will be available, and dogs will not be allowed.

Charity

Pembroke Dock charity shop expands to support hospice care

Published

2 hours ago

May 6, 2026

Tom Sinclair

SHOP NOW OPEN SEVEN DAYS A WEEK AFTER EXPANSION INTO ADJOINING UNIT

A CHARITY shop in Pembroke Dock has expanded into a neighbouring unit to help raise more money for local hospice care.

Paul Sartori Hospice at Home has completed a knock-through at its shop in Bierspool, London Road, creating a larger retail space and allowing the charity to offer a wider range of items, including furniture.

The expanded shop was officially opened on Friday (May 1) by the outgoing Mayor of Pembroke Dock, Cllr Michelle Wiggins.

The shop team, led by Kelly Elliot and supported by volunteers, worked for several weeks to prepare the new-look store for customers.

Head of Retail Julia Brady welcomed guests at the opening, while the charity also thanked staff, volunteers and supporters who helped decorate and prepare the premises.

Special thanks were given to Gill at Pembroke Dock Tesco for donating treats for customers and staff on the day.

Paul Sartori Hospice at Home operates nine retail shops and an eBay department. Income from donations and sales helps fund the charity’s clinical teams, who provide free specialist palliative care to patients and families across Pembrokeshire.

The charity says it costs £3,600 every day to deliver its free clinical services. Around 30% of that cost is funded through Hywel Dda Health Board, with the remainder raised through retail income, fundraising and community support.

The Pembroke Dock shop is now open seven days a week, giving people more opportunities to shop, donate and support local hospice care.

Paul Sartori Hospice at Home was established in memory of Father Paul Sartori, a much-loved local priest who recognised the need for hospice care before his death from cancer at the age of 39.

The charity provides care for people with any life-limiting condition, not only cancer, and supports patients of all faiths and none. It operates an open referral system, with referrals accepted from patients, families, friends and healthcare professionals.

Paul Sartori Foundation Ltd operates under the name Paul Sartori Hospice at Home. The charity was registered in 1982 and will celebrate its 45th anniversary during 2027/2028.

News

Ysgol Bro Teifi celebrates national championship rugby success

Published

2 hours ago

May 6, 2026

Herald Sport

UNDER-18 SIDE LIFTS WRU PLATE AFTER HARD-FOUGHT FINAL AT RODNEY PARADE

YSGOL BRO TEIFI’S under-18 rugby team are celebrating national success after winning the WRU Schools and Colleges Plate Final at Rodney Parade.

The Ceredigion side travelled to Newport to face Ysgol Maes y Gwendraeth in a fast, physical and closely contested final.

Bro Teifi made a strong start, with tries from Elis Evans, Llew Thomas and Jack Brown giving them an early advantage. Dafydd Nichols-Evans added the extras from the kicking tee as the team went into half-time 19-14 ahead.

The second half proved even tighter, with Ysgol Maes y Gwendraeth applying sustained pressure and forcing Bro Teifi to defend with discipline and determination.

A late try gave Bro Teifi breathing space before Nichols-Evans held his nerve in the closing stages, landing a crucial penalty to seal a 27-19 victory.

The school said the win reflected the hard work, commitment and talent of the players, as well as the support of staff, parents and fans throughout the season.

Headteacher Gareth Evans said: “This game is the culmination of a tough season for the boys as they beat much bigger schools on the way to the final.

“It also builds on the school’s reputation in sport, with numerous successes this year across a range of sports and age groups.

“I would like to thank all the school staff for their tireless work in ensuring these experiences for our pupils, and the parents for their support.”

Photo caption: Plate winners: Ysgol Bro Teifi’s under-18 rugby team celebrate their national success at Rodney Parade.