Business

Tourism pressures: Davies and Kurtz warn of “perfect storm” for West Wales

Published

7 months ago

November 20, 2025

MSs say cumulative policies risk pushing long-standing operators to the brink – Welsh Government insists reforms will strengthen sector in the long term

WEST WALES’ visitor economy is heading into one of its most challenging off-seasons in recent memory, senior politicians have warned, as small accommodation providers face rising costs, tightening consumer demand and a raft of new regulations arriving at once.

Preseli Pembrokeshire MS Paul Davies and Carmarthen West and South Pembrokeshire MS Samuel Kurtz say the region’s long-standing tourism operators – many of them small family-run B&Bs, holiday cottages and rural retreats – are now dealing with “cumulative pressures” that are beginning to feel overwhelming.

Their warnings follow a mixed summer season across Pembrokeshire, with operators reporting decent spells of weather but noticeably weaker footfall during the shoulder months, shorter stays, and more last-minute cancellations as households continue to cut back.

Cumulative pressures hitting at once

Businesses across West Wales say they are struggling to absorb multiple financial and regulatory changes arriving in quick succession.

As well as the Welsh Government’s plans for a tourism levy and the new all-Wales registration scheme for holiday accommodation, providers are adapting to council tax premiums linked to the 182-night threshold for self-catering properties.

These measures are landing at the same time as:

rising wage bills following this year’s minimum wage uplift,
higher employer National Insurance contributions,
utilities and commercial insurance costs that remain far above pre-pandemic levels,
and a broader slowdown in UK domestic holiday spending as the cost-of-living crisis continues.

Many smaller operators rely on strong summer takings to carry them through winter. Several have told The Herald the convergence of pressures now feels like a “perfect storm”, with some trimming staff hours, postponing maintenance or delaying planned investment until the outlook stabilises.

Tourism bodies say the effects are especially sharp in Pembrokeshire, where thousands of jobs – from Tenby and Saundersfoot to St Davids, Newport, Solva and the Preseli villages – depend on a reliable and healthy visitor economy.

There is also concern about the impact on casual hosts and small-scale providers who increase capacity during major events such as Ironman Wales, Long Course Weekend, the Bluestone Marathon and Pembrokeshire’s packed summer festival calendar.

***Paul Davies MS wants the Welsh Government to listen to the People of Pembrokeshire***

Paul Davies MS: “Ministers must listen to those on the ground”

Preseli Pembrokeshire MS Paul Davies said operators have been “clear and consistent” about the cumulative impact of rapid policy change.

“Tourism businesses in West Wales have been clear about the challenges they face and yet rather than providing support, governments at both ends of the M4 have introduced measures that have added further pressure to the sector,” he said.

“I have consistently called on the Welsh Government to engage constructively with tourism operators and to work collaboratively on solutions that will support local tourism businesses.

“Ministers must listen to those on the ground, remove unnecessary regulations, and deliver practical support that ensures the long-term sustainability of the tourism sector in Wales.”

Davies said several business owners had contacted him to express growing anxiety about the winter period, with some already scaling back operations in the face of uncertainty.

***Sam Kurtz MS says he is concerned about red tape being a barrier to business in West Wales***

Samuel Kurtz MS: “Tourism is the backbone of the West Wales economy”

Carmarthen West and South Pembrokeshire MS Samuel Kurtz said the timing of recent changes risks weakening a sector that remains one of West Wales’ strongest economic pillars.

“Tourism is the backbone of our economy in West Wales, and as we enter the quieter months many local businesses will be feeling the pressure more than ever,” he said.

“Instead of adding layers of costly red tape, the Welsh Government should be supporting operators who are already battling the 182-night threshold, rising wage bills and increased NI costs, all on top of reduced footfall as the season ends.”

He added: “The cumulative effect of these changes is taking a devastating toll on the tourism industry. Ministers must pause, listen, and rethink before more long-standing businesses are pushed to the brink.

Welsh Government response and broader context

Welsh ministers maintain that the reforms are necessary to modernise the sector, protect communities, and ensure that tourism remains sustainable in the long term.

The all-Wales registration scheme, they argue, will help identify poor-quality accommodation, improve safety standards, and give councils better data when making decisions about housing pressure in coastal and rural communities.

The tourism levy, they say, simply brings Wales in line with many European nations, with revenue raised locally to support services relied upon by visitors – from car parks and toilets to coastal paths and waste collection.

A Welsh Government spokesperson has previously said the seasonal nature of the sector “requires a sustainable model that works for communities as well as visitors and businesses”, with reforms forming part of a wider plan to “balance the needs of residents, workers and the environment”.

Industry calls for “joined-up thinking”

Tourism associations across Wales have repeatedly stressed that the challenge lies not with any single measure but with several arriving simultaneously.

Some operators have already exited the market citing an unfavourable environment, while others are waiting to see whether domestic holidaymakers will return in greater numbers next year or whether the shift towards cheaper overseas breaks will continue.

With winter now settling in, the coming months will prove a critical test of resilience for a sector that remains central to Pembrokeshire’s rural economy, its employment base, and its cultural identity.

Business

New showroom for car dealership approved by county planners

Published

1 day ago

June 20, 2026

Bruce Sinclair - Local Democracy Reporter

PLANS for a new showroom for a Pembrokeshire car dealership which has recently acquired a new Isuzu vehicle franchise, have been given the go-ahead.

In an application to Pembrokeshire County Council, Gareth Hughes Motors of 25 Burton Road, Sardis, through agent Hayston Developments & Planning Ltd, sought permission to replace a temporary canopy with fixed permanent mini-showroom.

A supporting statement said: “Gareth Hughes Motors is a family run enterprise, established in 1982. In order for the business to respond to the latest technological advancements, especially those related to the transition to hybrid and electric vehicles, additional space and different resources will be required.

“Approval of this application will assist in the delivery of these required resources, associated staff training and recruitment for the servicing of electric vehicles will also lead to the retention and provision of skilled employment.”

It says the extension will be designed to allow sufficient space to display Isuzu vehicles, an additional motor franchise recently acquired by the dealership, with no changes proposed to the existing access from the C3007 as the mini-showroom would take place to the rear of the site and replace an existing canopy structure.

It added: “The environmental impacts from the proposal are minimal as the replacement structure takes place on a concreted/bitumac surface which is currently used for the parking of cars. In addition, the design and use of materials complements that of the current showroom and repair shop and by the addition of a bird and bat box on the south-east of the proposed extension.

“The proposed new mini-showroom will accommodate a maximum of two vehicles and would take place to the rear/side of the site and would be constructed in materials which complement those of the existing showroom and service bays.

“Although Gareth Hughes Motors is located within a group of residential properties it is considered that there will be no significant negative impacts on those neighbouring properties because of their distance from the application site, the orientation of the buildings.

“The securing of an additional franchise at this Sardis site will both help secure the future of the existing staff and create opportunities for additional employment in the motor trade.”

The application was conditionally approved by county planners.

Business

The Cheesecake Guy Ltd plans withdrawn following community council objections

Published

1 day ago

June 20, 2026

Bruce Sinclair - Local Democracy Reporter

PLANS for what could have been the third store in the country for Welsh cheesecake business The Cheesecake Guy Ltd at Saundersfoot’s Coal Building interpretation centre have been withdrawn.

In an application to Pembrokeshire Coast National Park, Craig Taylor of Merthyr Tydfil-based The Cheesecake Guy Ltd sought a change of use of part of Saundersfoot’s Cambrian Terrace Coal Building interpretation centre to create a small retail unit.

On its website, The Cheesecake Guy says of its business and products: “Established in 2019, The Cheesecake Guy is all about delivering indulgent, handcrafted cheesecake desserts with a twist. While we offer a range of sweet treats, our specialty — and customer favourite — is the signature cheesecake jar.

“Made with quality ingredients and packed with rich, creamy layers, our jars are the perfect dessert for any occasion. Whether you’re treating yourself or sharing with others, The Cheesecake Guy brings a spoonful of happiness to every bite.”

While no supporting statement was published for the Saundersfoot proposal, the application said the scheme, if approved, would employ two full-time members of staff, operating 10am-6pm Mon-Sat, and 10-5 on Sundays and bank holidays.

Of the scheme itself it said it would involve “retail sales of pre-prepared desserts and merchandise,” adding there will be “no on-site manufacturing or heavy processing,” with “equipment limited to display fridges and freezers”.

If approved, the Saundersfoot site would have been the third outlet for The Cheesecake Guy, with sites in Merthyr, and, more recently, Newport Market.

For its Newport site, The Cheesecake Guy says: “We specialise in creating a wide variety of cheesecake desserts that cater to all tastes. Our menu features popular favourites that have won the hearts of many, alongside exciting new creations designed to keep your taste buds satisfied.

“Whether you’re a classic cheesecake lover or an adventurous foodie, we promise a cheesecake experience like no other. Each cheesecake is made with the utmost care, ensuring a rich, creamy texture and a burst of flavour in every slice (or jar!).”

Since the application was submitted, Saundersfoot Community Council objected “on the basis that the harbour is diluting the original intention of this area, which was designed to be an educational section of the development”.

The application is now, as of June 19, marked as withdrawn.

Business

Amended Fishguard children’s home scheme approved

Published

1 day ago

June 20, 2026

Bruce Sinclair - Local Democracy Reporter

AN AMENDED scheme for a children’s care home on the edge of Fishguard has been approved after a previous call was refused.

In an application to Pembrokeshire County Council, Martin Leahy of Ty Caredig Ltd sought a certificate of lawfulness permission for the use of a dwellinghouse to a residential care home for up to two children at Bryn Delyn, Y Fraich, Fishguard.

Last November, a similar call to allow Bryn Delyn to be used as a children’s home, which raised fears from local objectors the scheme was being ‘rubber stamped’ by the council, was refused.

In that application to the council, Cardiff-based Ty Caredig Ltd sought permission for a Certificate of Lawfulness on the basis the use was not materially different from the property’s existing lawful use.

Residents had accused the council of “pushing through a highly controversial children’s home application behind closed doors”.

A supporting statement for that scheme, with many redacted parts, said the four-bed property had a lawful use as a dwelling house; saying the use as a care home did not require planning permission through a change of use.

However, planners said the use of the dwelling as a care home “would represent a material change of use requiring the benefit of planning permission”.

Since then, amendment to the scheme, for a lawful change of use was submitted, a supporting statement saying Ty Caredig Ltd operates homes throughout Wales that provide specialist care for children, the latest scheme “seeks formal confirmation that the proposed use of Bryn Delyn as a children’s care home for up to two children (plus care staff) would not require planning permission”.

Fishguard Town Council objected, on the grounds of highway safety and parking issues.

It also raised points of “apparent discrepancies between the planning application and the information available on the website,” but stressed it did support provision of suitable accommodation for vulnerable young people and children “with the correct infrastructure in place”.

Local county councillor Cllr Par Davies has said the scheme has her “full support,” as did the certificate call, adding: “Rumours abound regarding this application with objections concerning the usage of the property as a care home for young people. The application states that only two young people would be cared for in the property.

“This type of property is needed as we often talk as councillors for the need for Pembrokeshire children in care to remain in Pembrokeshire instead of the alternative of moving them to other areas in the country and this application fulfils that need.”

The application was approved by planners, the approval stating “Based on the information submitted and on the balance of probability it is considered that the use of the property as a residential care home for up to two children would not result in a material change of use from the lawful use of the property as a dwellinghouse and as a result a certificate of lawfulness for a proposed use should be granted.”