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Politics

Senedd’s speaker issues dire warning over £22m ‘black hole’

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THE SENEDD could face a £22m funding gap and run out of money to pay staff, politicians and contractors by January 2027, the Welsh Parliament’s speaker has revealed.

Elin Jones, the presiding officer or Llywydd, warned of dire knock-on effects for the Senedd of a failure to agree the Welsh Government’s 2026/27 budget.

Labour lacks a majority and needs opposition support to pass its spending plans. If the deadlock is not broken, the Senedd – like the government – would be forced to operate on 75%, and subsequently 95%, of this year’s budget in the next financial year from April.

Ms Jones said such a scenario would present a significant financial challenge, resulting in the Senedd effectively running out of cash after only nine months in January 2027.

She told the Senedd’s finance committee that expansion from 60 politicians to 96 at the May 2026 election will cost about an extra £13m in pay and allowances.

Ms Jones, who chairs the Senedd commission, which manages the estate and support services, wrote: “This represents the principal factor behind a potential funding gap of around £22m.

“Such a shortfall could not be managed by simply reallocating resources, as the majority of the commission’s budget is committed to staff costs and contractual payments.

“Any reduction in these areas would likely incur further costs, such as redundancy payments or early termination penalties, thus intensifying budgetary pressures and significantly limiting the resources available to support the parliament at the outset of the new Senedd.

“If the Senedd were in this position, the budget would run out after month nine. This would mean an inability to pay staff, contractors, members and their support staff from this point.”

Ms Jones, who will stand down after two terms as Llywydd next year, suggested the Senedd would try to bridge the gap through a supplementary budget motion following the election.

The finance committee, chaired by Plaid Cymru’s Peredur Owen Griffiths, was concerned by a lack of contingency planning being undertaken by the commission.

South Wales East's Plaid Cymru MS Peredur Owen Griffiths
South Wales East’s Plaid Cymru MS Peredur Owen Griffiths

In a letter, Ms Jones accepted all the committee’s recommendations following scrutiny of the commission’s £102m draft budget for 2026/27 – an £18m or 21% increase on 2025/26.

In an update on plans for the Pierhead in Cardiff Bay, Ms Jones said the grade one-listed building will primarily be retained for use by the Senedd. But she confirmed the commission will explore commercial interests but the process is unlikely to conclude before May 2026.

She also offered an update on the “Bay 2032” project, which is looking at options for office space with the lease on Tŷ Hywel – the red-brick building behind the Senedd – set to expire.

Ty Hywel is located behind the Senedd
Ty Hywel is located behind the Senedd

The speaker wrote: “This process has demonstrated that simply rolling-over the existing lease would not necessarily satisfy the accommodation requirements of the commission nor provide best value for money to the taxpayer.

“There are, it is now clear, alternative options that may provide better value.”

Other options are thought to include buying Tŷ Hywel, taking up a nearby building, or building new offices but a final decision is expected to be pushed beyond the next election.

The Senedd will debate a motion on the commission budget on Wednesday November 19 but pivotal votes on the Welsh Government’s spending plans will follow in the new year.

Business

Cwm Deri Vineyard Martletwy holiday lets plans deferred

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CALLS to convert a former vineyard restaurant in rural Pembrokeshire which had been recommended for refusal has been given a breathing space by planners.

In an application recommended for refusal at the December meeting of Pembrokeshire County Council’s planning committee, Barry Cadogan sought permission for a farm diversification and expansion of an existing holiday operation through the conversion of the redundant former Cwm Deri vineyard production base and restaurant to three holiday lets at Oaklea, Martletwy.

It was recommended for refusal on the grounds of the open countryside location being contrary to planning policy and there was no evidence submitted that the application would not increase foul flows and that nutrient neutrality in the Pembrokeshire Marine SAC would be achieved within this catchment.

An officer report said that, while the scheme was suggested as a form of farm diversification, no detail had been provided in the form of a business case.

Speaking at the meeting, agent Andrew Vaughan-Harries of Hayston Developments & Planning Ltd, after the committee had enjoyed a seasonal break for mince pies, said of the recommendation for refusal: “I’m a bit grumpy over this one; the client has done everything right, he has talked with the authority and it’s not in retrospect but has had a negative report from your officers.”

He said the former Cwm Deri vineyard had been a very successful business, with a shop and a restaurant catering for ‘100 covers’ before it closed two three years ago when the original owner relocated to Carmarthenshire.

He said Mr Cadogan then bought the site, farming over 36 acres and running a small campsite of 20 spaces, but didn’t wish to run a café or a wine shop; arguing the “beautiful kitchen” and facilities would easily convert to holiday let use.

He said a “common sense approach” showed a septic tank that could cope with a restaurant of “100 covers” could cope with three holiday lets, describing the nitrates issue as “a red herring”.

He suggested a deferral for further information to be provided by the applicant, adding: “This is a big, missed opportunity if we just kick this out today, there’s a building sitting there not creating any jobs.”

On the ‘open countryside’ argument, he said that while many viewed Martletwy as “a little bit in the sticks” there was already permission for the campsite, and the restaurant, and the Bluestone holiday park and the Wild Lakes water park were roughly a mile or so away.

He said converting the former restaurant would “be an asset to bring it over to tourism,” adding: “We don’t all want to stay in Tenby or the Ty Hotel in Milford Haven.”

While Cllr Nick Neuman felt the nutrients issue could be overcome, Cllr Michael Williams warned the application was “clearly outside policy,” recommending it be refused.

A counter-proposal, by Cllr Tony Wilcox, called for a site visit before any decision was made, the application returning to a future committee; members voting seven to three in favour of that.

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Climate

Fishguard ‘battery box’ scheme near school refused

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PLANNERS have refused a Pembrokeshire ‘battery box’ electricity storage unit near a Pembrokeshire town school, which has seen local objections including fears of a potential risk to nearby school children.

In an application recommended for approval at the December meeting of Pembrokeshire County Council’s planning committee, AMP Clean Energy sought permission for a micro energy storage project on land at Fishguard Leisure Centre Car Park, near Ysgol Bro Gwaun.

The application had previously been recommended for approval at the November meeting, but a decision was deferred pending a site visit.

The scheme is one of a number of similar applications by AMP, either registered or approved under delegated planning powers by officers.

The battery boxes import electricity from the local electricity network when demand for electricity is low or when there are high levels of renewable energy available, exporting it back during periods of high demand to help address grid reliability issues; each giving the potential to power 200 homes for four hours.

The Fishguard scheme, which has seen objections from the town council and members of the public, was before committee at the request of the local member, Cllr Pat Davies.

Fishguard and Goodwick Town Council objected to the proposal on grounds including visual impact, and the location being near the school.

An officer report said the scheme would be well screened by a Paladin Fence, with a need to be sited close to an existing substation.

Speaking at the December meeting, Ben Wallace of AMP Clean Energy conceded the boxes were “not things of beauty” before addressing previously raised concerns of any potential fire risk, saying that “in the incredibly unlikely” event of a fire, the system would contain it for up to two hours, giving “plenty of time” for it to be extinguished, an alarm immediately sounding, with the fire service raising no concerns.

“These are fundamentally safe, the technology is not new,” he said, comparing them to such batteries in phones and laptops.

One of the three objectors at the meeting raised concerns of the proximity to homes and the school, describing it as “an unsafe, unsustainable and unnecessary location,” with Cllr Jim Morgan of Fishguard Town Council, who had previously raised concerns of the “nightmare scenario” of a fire as children were leaving the school, also voicing similar issues.

Local county councillor Pat Davies, who had spoken at the previous meeting stressing she was not against the technology, just the location and the potential risk to pupils, said the siting would be “a visual intrusion,” with the school having many concerns about the scheme, adding it had been “brought forward without any dialogue of consultation with the school”.

Cllr Davies added: “It is unacceptable that a micro-storage unit should be proposed in this area; someone somewhere has got it wrong.”

Following a lengthy debate, committee chair Cllr Mark Carter proposed going against officers in refusing the scheme; members unanimously refusing the application.

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Climate

Fears Sageston wind turbine scheme could affect bats

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AN APPLICATION for a wind turbine nearly 250 foot high on the road to Tenby, recommended to be turned down due to a lack of information on how it could affect bats, has been put on hold.

In an application recommended for refusal at the December meeting of Pembrokeshire County Council’s planning committee, Constantine Wind Energy Ltd sought permission for a 76-metre-high wind turbine at Summerton Farm, Sageston.

Back in 2024, an application to replace a current 60.5m high turbine on the site with one up to 90 metres, or just under 300 foot, at the site was refused on the grounds its height and scale would have a detrimental impact on the visual amenity of the locality, with the additional clause of failing to comply with supplementary guidance.

A report for committee members on the latest application says the smaller turbine than previously proposed, representing a 16-metre increase in height from a previously granted turbine “would not be sufficient for it to become an overbearing feature in the landscape,” with no objections from either the Council Landscape Officer or Natural Resources Wales.

However, concerns were raised by the council ecologist that the applicant’s Preliminary Ecological Appraisal Report was incomplete.

“The Council Ecologist questions why the response received in relation to myotis bat records were not included within the initial PEA.  As such, he considers that the PEA does not present enough information on the possible presence of bats within the application site area.

“Whilst there may be negligible foraging and commuting potential, there are records of foraging on grassland within two kilometres which have positive identification of myotis bat foraging, along with greater and lesser horseshoe bat foraging.  He also notes that the application site is in close proximity to a wooded area.”

It was recommended for refusal on the grounds that appraisal report, and technical note, “do not adequately address the impact of the proposed wind turbine on bat activity in the area”.

At the committee meeting, members heard the scheme had been temporarily withdrawn to deal with issues raised, the application expected to return to a future meeting.

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