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Council U-Turn on ‘Bedroom Tax’ policy

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Bedroom-Tax-WheelchairThe Herald has learnt that a high profile local and televised case has led to a change of heart in how Pembrokeshire County Council applies the Government’s policy on the Spare Room Subsidy, often referred to as the‘Bedroom Tax’.

The controversial policy was at the centre of Westminster politics this week when David Cameron was challenged, during Prime Minister’s Questions, in Parliament, by Labour MP Jim Cook to justify his position for what Mr Cook saw as ‘a policy that punishes the poor’. To which, The Prime Minister responded by stating that the policy is designed to apply the same rules to both the private and public sector housing markets alike. Mr Cameron also challenged Labour to state whether they would reverse the Coalition policy or not, to which he received no response.

The Spare Room Subsidy was introduced on April 1 of this year by the UK Government. principally, because they claim there are nearly one million spare bedrooms in the UK, with an estimated cost to the tax payer of up to half a billion pounds a year. Simon Hart, MP for Carmarthen West and South Pembrokeshire told The Herald that,

“To ensure we protect those affected, we have trebled the Discretionary Housing Payment (DHP). We have allocated £25 million to support disabled people living in heavily adapted accommodation”.

In the Welsh Assembly this week, Rebecca Evans AM, and member of the Health and Social Care Committee, commented on the policy, claiming that the Labour Welsh Government were ‘making efforts to mitigate the effects of the Bedroom Tax’. In a press release dated September 3, of the UK Government, she stated that,

“Amazingly, despite admitting that the Bedroom Tax could have a disproportionate effect on rural communities, the UK Government didn’t undertake a specific rural impact assessment to fully investigate the problems it may pose. It seems they are quite comfortable with pushing forward with metropolitan policies that have a harsh effect on rural communities”

Welsh Finance Minister, Jane Hutt, visited housing developments in both Haverfordwest and Pembroke Dock and said that,

“We are determined to do all that we can to help mitigate against the UK Government welfare reforms. That’s why we’ve allocated £20 million to provide much needed one and two bedroom homes across Wales.”

However, one Pembrokeshire resident directly affected by this policy, whose story was featured on Channel 4 news this past week, does not feel the application of this tax is being applied in a fair and even handed way. Paul Rutherford, of Haverfordwest, spoke directly with The Herald to explain his experience.

“Our bungalow was purpose built and allocated to my wife and her grandson due to the profound nature of his disabilities and care requirements. It was built with various adaptations. We first became unsure if we would, in fact, be affected or not after I read the legislation in January of this year. There, it states that an exemption will be made for any household in which the claimant or the claimant’s partner requires an extra bedroom for an overnight carer who does not normally reside at the address.”

In correspondence with The Herald, Simon Hart MP re-iterated this aspect of policy.

Mr Rutherford, continued to explain that the spare bedroom for which the tax would be liable was occupied at least two to three nights a week by a non resident carer. Initially, he said that the Council had advised him to put in a claim for a Discretionary Housing Payment. After many problems with form filling and financial assessment, he went on to say that the Council had advised him that he was not eligible for a DHP and could therefore afford to pay the additional 14% of his rent. Eventually, however, he said that the Council agreed to award the DHP but informed Pembrokeshire County Council that, in fact, he was appealing against the original decision to have their housing benefit cut, as required by the Spare Room Subsidy policy. He stated that his concern was that this was merely a short term funding plan and that the real issue was that of the housing benefit cut itself. Mr Rutherford explained that he would be taking legal action saying that,

“This tax is pernicious. Of the 660,000 households said to be affected, almost two thirds contain disabled people, like us, who need the space in their homes to have carers stay overnight or for equipment storage. We will fight this all the way and we would have expected more support from Pembrokeshire County Council, but they don’t actually care.”

The Herald contacted County Councillor David Simpson, Cabinet Spokesperson for Housing, regarding Mr Rutherford’s case, who, speaking exclusively to The Herald, said,

“We will be reviewing the policy at Cabinet on Monday, which will stop him (Mr Rutherford)  from having to pay.”

When asked why the County Council had not applied the discretion for disabled tenants as per Government policy, Mr Simpson said of this apparent U-turn in Council policy towards implementing the Spare Room Subsidy,

“In the original assessment it was not felt they (Mr Rutherford and his wife) were in dire need. This is the Government’s fault. It is a policy imposed upon councils and has put all councils in a very difficult position. I heard about it (Mr Rutherford’s case) and acted as quickly as I could.”

On the actual figure of those affected in Pembrokeshire, and the claim by the Labour Welsh Government that only fourteen one bedroom properties were currently available, he went on to say that,

“The County Council currently has 947 one bedroom, or smaller, properties. The fourteen figure quoted relates to the number of one bedroom, or smaller, properties available at a point in time in August – this will change over time. Since April 1st there have been a total of fifty-seven one bedroom properties that have become available. “

Paul Davies, Am for Preseli Pembrokeshire, speaking with The Herald, said of the policy,

“Welfare bills, including housing benefit, spiralled out of control under the last Labour Government, costing over £100 billion every year, paid for with the taxes of hardworking people. I am surprised that Labour politicians continue to support the reckless sort of spending which got this country into the economic mess in the first place. Most families in Wales have to pay extra in rent or mortgage payments if they want to have a guest bedroom so why should it be any different for people on housing benefit?”

This was a sentiment echoed by Simon Hart MP who said that the policy aimed to make better use of housing stock, support those in overcrowded accommodation and on waiting lists, encourage mobility within the social rented sector, and strengthen work incentives.

He finished by stating that,

“The Spare Room Subsidy is not a penalty and it is not a tax. It is a reduction in housing benefit for those who are being subsidised for spare bedrooms. This policy is founded on the principles of fairness; fairness to those in overcrowded homes, fairness to those in the private sector and fairness to the taxpayer”.

Crime

Woman jailed for stealing £245,000 from Pembrokeshire charity

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Trustee abused position of trust, leaving organisation facing closures, job losses and tax debt

A WOMAN who abused her position at a Pembrokeshire-based charity to steal almost a quarter of a million pounds has been jailed for four years.

Liza Haines, 54, defrauded Sazani Associates, a not-for-profit organisation based in Pembroke, of £245,410.63 over a five-year period.

The charity delivers education and sustainable development programmes in Europe and Africa, working with communities in poorer regions.

Swansea Crown Court heard that Haines was both a trustee and operations manager at the organisation, placing her in a senior and trusted role with extensive financial responsibilities.

Emily Bennett, prosecuting, told the court that Haines was responsible for payroll, pensions and VAT returns, giving her direct access to the charity’s bank accounts.

Between 2018 and 2023, she systematically diverted funds for her own use.

When the fraud was uncovered, the charity’s accounts were found to be empty, leaving it unable to pay staff. Directors were forced to take out personal loans to cover wages.

The court heard that the financial damage caused by Haines’ actions led to job losses, the closure of offices in Carmarthen and Zanzibar, and the cancellation of several projects. The organisation was also left owing £93,000 to HM Revenue and Customs.

Dr Ian Clegg, a retired university lecturer and director of Sazani Associates, read a victim impact statement to the court.

He said the directors had been left “shocked and bewildered” by the betrayal, adding that Haines had been trusted to play an important role within the organisation.

Dr Clegg told the court that the directors had received threatening letters from creditors, causing serious professional and personal distress.

“This was a calculated deception,” he said, adding that the situation had taken both a physical and mental toll on those involved in running the charity.

Haines, of Clos Cilsaig, Dafen, Llanelli, pleaded guilty to fraud.

The court heard that she has a previous conviction for theft by employee dating back to 2007, when she stole around £7,000 while working as an administrator at St Mark’s Court Care Home in Swansea. She was sentenced to nine months in prison, suspended for eighteen months.

That conviction was not disclosed when she applied for her role at Sazani Associates.

Dyfed Llion Thomas, representing Haines, said her guilty plea amounted to significant mitigation and told the court she had shown genuine remorse. The court was also told that she has an elderly mother.

Sentencing her, Judge Paul Hobson said she had been fully aware of the risks of her actions but had ignored them out of greed.

“This organisation was a labour of love for those who built it,” he said.

He added: “Your work life was a sham. You knew the financial harm you were causing. The consequences of what you did have been devastating. You are an habitually dishonest individual.”

Haines was sentenced to four years’ imprisonment.

A proceeds of crime hearing is due to take place on April 23 next year.

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Business

Pembroke Dock restaurant to close on Christmas Day after £23,000 rates rise

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A PEMBROKE DOCK restaurant owner has said she is “devastated” after being forced to close her business on Christmas Day following a projected business rates increase of more than £23,000.

Randalls Restaurant, which operates from The Dolphin Hotel in Pembroke Dock, has been run by Natalie Newton and her family since 1999. Ms Newton took over the business in 2018 after her parents retired, overseeing a major transformation from a traditional pub and bed and breakfast into a hotel and restaurant.

Chef Ben Randal and fiancée, Natalie Newton who owns the hotel (Image: Dolphin Hotel)

For the past seven years, she and her fiancée, chef Ben Randall, have worked to build the restaurant’s reputation, offering breakfasts, lunches and evening meals using locally sourced produce where possible, as well as hosting special events including Christmas parties, buffets, afternoon teas and themed dining nights.

However, Ms Newton said she was left with no option but to close the restaurant after discovering that its business rates are expected to rise from around £10,000 to £33,000 from next year.

She said: “It’s a great shame. My father is absolutely devastated – this was his legacy. I took it over and built a really successful restaurant, and now it feels like it’s been taken away.”

Ms Newton said she checked her projected rates bill using the Government’s online calculator and was shocked to see that it had more than trebled. With quieter trading months expected early in the year, she said the increase was simply not sustainable.

“January, February and March are quieter months,” she said. “From April I’d need to find an extra £2,750 every month. Even if I managed it, I’d be working for nothing, and I’m worried I wouldn’t be able to pay my bills and would end up in the red.”

She added: “I’ve made the decision to close straight after Christmas Day. It’s drastic, but I have to keep my head above water and protect everything my parents worked for.”

Ms Newton said the decision had not only affected her family but also the restaurant’s eleven members of staff.

“I’ve invested everything back into this business,” she said. “Every penny the restaurant has made has gone straight back into it. I’ve worked every day, nights and weekends, and I haven’t had Christmas at home for seven years.

“For the last six months I’d look around the restaurant when it was busy and think how lucky we were. People were happy, good food was going out. Now it feels like it’s all been snatched away.”

The Herald has reported extensively on growing concern among Pembrokeshire businesses over sharp increases in business rates following updated valuations, with several town centre traders warning that rising fixed costs are pushing otherwise viable businesses to the brink.

Ms Newton said she intends to focus on running the hotel after Christmas but will miss the restaurant and its customers.

“I’m going to miss everyone,” she said. “I’ve loved building relationships with customers over the years. I just want to thank everyone who believed in Ben and me and supported us.”

Business rates in Wales are due to be updated from April 1, 2026, to reflect current property values. The Welsh Government has said that while many businesses will see their bills fall, others will face increases.

It has announced that any business facing an increase of more than £300 will have the rise phased in over two years rather than being applied in full immediately.

Cabinet Secretary for Finance and Welsh Language Mark Drakeford said previously: “We know businesses have faced significant economic challenges in recent years. This support package will help them manage the transition to updated rates bills while we deliver on our commitment to a fairer rates system.”

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Crime

Emergency bags rolled out to support domestic abuse victims across Dyfed-Powys

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Thirty packs provide immediate help for families fleeing dangerous situations

A NEW initiative aimed at supporting victims of domestic abuse has seen thirty emergency bags distributed for use across the Dyfed-Powys Police area.

The bags, which contain essential items including toiletries, non-perishable snacks and emergency supplies, are designed to offer immediate practical support to individuals and families forced to flee abusive situations, often with little or nothing.

The scheme forms part of the Police and Crime Commissioner’s wider commitment to improving outcomes for victims and is being delivered in partnership with Dyfed-Powys Police and Dal i Godi, the commissioned Independent Domestic Violence Adviser (IDVA) service.

Dal i Godi provides specialist support to victims at high risk of serious harm, including safety planning and advocacy through the criminal justice process.

Police and Crime Commissioner Dafydd Llywelyn said the initiative was already proving its value.

“This is an incredible initiative that I’m proud to support,” he said. “It provides meaningful help to those experiencing trauma and reflects our ongoing work to put victims first.

“Within just a few days of the bags being distributed to the Dal i Godi service, one was given to a victim fleeing a domestic abuse situation, along with a children’s pack to support their young family. That shows just how essential this support can be and how quickly it can make a difference.”

Detective Chief Inspector Llyr Williams, from the Dyfed-Powys Police Vulnerability Hub, said the emergency bags could provide a vital lifeline at critical moments.

“These emergency bags offer support at some of the most difficult moments in a person’s life,” he said.

“The contents provide immediate comfort, dignity and practical help for those leaving their homes in crisis. While simple, they represent an important first step towards safety and recovery.

“We are proud to be working with partners across the Dyfed-Powys area to ensure this support reaches people when they need it most.”

Anyone experiencing domestic abuse, or concerned about someone else, is encouraged to seek help. In an emergency, call 999.

Domestic abuse can also be reported online via Dyfed-Powys Police.

Support services available include Victim Support Dyfed-Powys, which offers free and confidential help to anyone affected by crime, whether or not it has been reported, and Dal i Godi, which provides specialist IDVA support for high-risk victims.

The Live Fear Free Helpline offers 24-hour support for those experiencing domestic abuse or sexual violence across Wales.

If you or someone you know is a victim of domestic abuse, please consider reporting it. If you are in danger or need support right away, please call 999.

You can report domestic abuse through the online crime reporting service here: Report domestic abuse | Dyfed-Powys Police.

Support is also available via the below support services:

Victim Support Dyfed-Powys

Free, independent support for anyone affected by crime in the Dyfed-Powys area, whether or not it has been reported to the police.

 0300 123 2996

 Victim Support Dyfed-Powys

Dal i Godi (IDVA Service)

Specialist support for victims of domestic abuse at high risk, offering safety planning, emotional support, and advocacy with agencies such as police and courts.

 01267 221194

 Dal i Godi

Live Fear Free Helpline

24/7 support for anyone experiencing domestic abuse or sexual violence.

 0808 80 10 800 |  Text 07860 077333

 [email protected]

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