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Business

Business rates pressure on Welsh firms raised with Welsh Government

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MS seeks clarity after reports Labour may reverse increases in England

A PEMBROKESHIRE Senedd Member has written to the Welsh Government seeking clarity over business rates in Wales following reports that the UK Labour Government is preparing to reverse proposed increases in England.

Samuel Kurtz MS, the Member for Carmarthen West and South Pembrokeshire, has contacted the Cabinet Secretary for Finance after it emerged that Labour ministers in Westminster may reconsider planned changes to business rates amid strong opposition from hospitality and high-street businesses.

Mr Kurtz said he had spoken to a number of local businesses across Pembrokeshire and west Wales and warned that recent increases in rateable values, combined with rising operating costs, were placing significant pressure on otherwise viable firms.

He said several businesses had closed over the Christmas period, with owners citing extremely challenging economic conditions following successive UK Labour Government budgets. For some, he said, increases in business rates had been described as “the straw that broke the camel’s back”.

In his letter, Mr Kurtz asked whether the Welsh Government intends to follow any change of direction taken in England and what support is currently available to Welsh businesses facing sharp increases in their rates bills.

He also sought clarification on what consideration is being given to cases where higher business rates could place firms at risk of closure.

The Welsh Government has previously stated that business rates revaluation is intended to reflect changes in rental values rather than raise additional revenue, and that transitional relief and targeted support schemes are in place to help businesses adjust.

Mr Kurtz said further engagement with local firms was needed to understand the real-world impact of the changes.

Alongside Paul Davies MS, he is hosting an online meeting for local businesses on Monday, January 26, at 10:30am. The session will aim to explain what changes are taking place and give business owners the opportunity to raise concerns directly.

Businesses affected by changes to business rates have been invited to contact Mr Kurtz’s office for further information.

Business

Fishguard passengers face pared-back service as Ben My Chree replaces Nordica

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PASSENGERS using the Fishguard–Rosslare ferry route are facing a scaled-back onboard experience after a smaller vessel was drafted in to cover the service for the next several months.

The MV Ben My Chree has taken over sailings between Fishguard Harbour and Rosslare, following the withdrawal of the Stena Nordica from the Pembrokeshire route.

The Isle of Man Steam Packet vessel arrived in Fishguard on Wednesday (January 7) and immediately entered service, operating the afternoon crossing to Ireland. She is expected to remain on the route until early May while Stena Line reallocates ships across its network during a busy refit programme.

The Nordica has been reassigned to cover other crossings, including temporary duties on the Holyhead–Dublin route after the Stena Estrid sustained damage during a berthing incident at Holyhead earlier the same day. The incident is understood to be under investigation.

While the Ben My Chree is capable of carrying up to 500 passengers and significant freight, regular users of the Irish Sea route have raised concerns about the loss of facilities normally available on the Nordica. The vessel does not offer a premium lounge or onboard wi-fi, and although cabins are fitted, they are not currently available for booking.

The Ben My Chree, whose name translates from Manx as Woman of My Heart, was built in the Netherlands and launched in 1998. She previously served routes between Heysham and Douglas before being brought in to provide cover on the Wales–Ireland crossing.

The Nordica is expected to return to Fishguard in early May once fleet cover duties elsewhere are complete.

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Business

Major Pembrokeshire farm development back before planners after ‘cooling off’ period

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A PREVIOUSLY backed call against officer recommendations for the relocation of a Pembrokeshire farm diversification scheme which packages and distributes specialist medical equipment across Europe will again be considered by councillors.

At the December meeting of Pembrokeshire County council’s planning committee, members backed a call by Mr Van Der Spoel for the relocation and expansion of an existing farm diversification business into an existing agricultural building at Castle Villa, Hayscastle despite an officer recommendation for refusal.

Back in July a similar application by Mr Van Der Spoel, through agent Harries Planning Design Management, was refused by planning officers.

A supporting statement for that application said the Dutch-born applicant, together with his wife and adult daughter ran the farm diversification business packing specialist medical supplies at their 135-acre sheep farm.

It added: “The business run from this site is FRIO ASTRID EURO Ltd, which has a franchise agreement with FRIO UK. This business has been run from Castle Villa since its incorporation in 1998. The business was initially run from the stable building on the farmyard at Castle Villa.

“The business set-up involves receiving stock from FRIO UK in Wolfscastle, packaging orders and distributing the stock to seven Western Europe countries.”

Wolfscastle-based FRIO produces the world’s first patented insulin cooling wallet which keeps insulin and other temperature-sensitive medicines cool and safe.

The scheme for the business, said to have outgrown its current site, was previously refused by county planners on grounds including a lack of “robust evidence” to prove it couldn’t be sited within a nearby settlement or an allocated employment site, such as Haverfordwest.

Since then, an application seeking to address the reasons for refusal was submitted, and, at the request of local member Cllr Mark Carter, a call for the scheme to be decided by full planning committee rather than delegated to officers was backed at the October meeting of Pembrokeshire County Council’s planning delegation panel.

The latest application is again, after its ‘minded to’ backing at the December meeting, recommended for refusal on similar grounds to previously at the January 13 planning meeting.

It has returned to the January committee for ratification after a ‘cooling off’ period, and, if backed then, will ultimately be decided by full council.

A report for members following the ‘minded to’ approval, warns: “Members should be aware that if they are ‘minded to’ approve the application on the basis of economic benefits and farm diversification, this is a consideration which can be applied to many other existing sites. This would have further consequences for the implementation of policies within the LDP and its delivery.”

It adds that, if it is backed again, it includes a condition, suggested by the agent, that: “Should the farm and business ever be operating by different individuals/companies, the use of this building by FRIO ASTRID must cease and be relocated should further planning permission not be obtained.

“This will be regulated by the submission of documents annually to demonstrate the farm and business remain under ownership by the same individual/company.”

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Business

Drakeford urged to follow England’s lead as Welsh businesses face closures

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A SENIOR Welsh Conservative has urged the Welsh Government to rethink its approach to business rates, warning that rising bills are pushing some firms in west Wales to the brink of closure.

Samuel Kurtz MS has written to the Cabinet Secretary for Finance, Mark Drakeford MS, calling on ministers to consider following England’s apparent change of direction on business rates after reports that the UK Labour Government is preparing to reverse proposed increases south of the border.

In his letter, Mr Kurtz says businesses across Pembrokeshire and west Wales are already feeling the effects of higher rateable values, combined with rising costs and falling footfall. He claims a number of firms closed over the Christmas period, with some owners describing business rate increases as “the straw that broke the camel’s back”.

Mr Kurtz, the Member of the Senedd for Carmarthen West and South Pembrokeshire, said business rates were not experienced as a “technical or neutral exercise” by those affected.

“Businesses experience it as higher bills landing on their doormats at a time when overheads are rising and footfall is falling,” he said. “When we are seeing pubs, cafés and shops closing over Christmas, it is clear that the system is not working for the communities it is supposed to serve.”

He has asked whether the Welsh Labour Government intends to reconsider increases to business rates in light of developments in England, and what action is being taken to support firms facing sharp rises that could render otherwise viable businesses unprofitable.

Mr Kurtz also argues that existing reliefs and protections do not adequately reflect conditions on the ground, particularly for small and medium-sized enterprises that fall just outside eligibility thresholds.

“Warm words and reassurances about fairness do not pay the bills,” he added. “What businesses want to know is whether the Welsh Government is prepared to listen, to act, and to prevent more closures on our high streets and in our town centres.”

In response to growing concern, Mr Kurtz and Paul Davies MS are due to host an online meeting on Monday (Jan 26) at 10:30am for businesses across west Wales. The session will focus on the impact of rising rateable values on hospitality, tourism and town-centre firms, and will give business owners the opportunity to share their experiences directly.

The meeting forms part of wider efforts to press for longer-term reform of the non-domestic rates system in Wales, including calls for a freeze or further reduction in the multiplier, broader eligibility for relief, and greater recognition of the pressures facing rural and coastal economies.

Responding to the concerns, a Welsh Government spokesperson said business rates in Wales are devolved and that ministers have already provided targeted support to smaller firms.

They said: “We recognise the pressures facing businesses and have invested more than £1 billion in business rates support since the pandemic. Wales continues to offer one of the most generous packages of relief in the UK, with the majority of small businesses paying no business rates at all.

“We keep the non-domestic rates system under review and will continue to engage with businesses and representative bodies to ensure support is targeted where it is needed most.”

Mr Kurtz, however, warned that without a change of course, further closures were inevitable.

“Unless the Welsh Government acts,” he said, “we will continue to see businesses close, jobs lost and communities hollowed out.”

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