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Further interest rates cuts to hit savers

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SAVERS face further misery as the Bank of England slashed interest rates to 0.25% yesterday (Aug 4) in an attempt to stimulate the struggling economy in the wake of the Brexit vote. 

Retirees and the semi-retired reliant on savings in ‘safe’ bank and building society accounts face a double whammy as record low interest rates combine with rising inflation caused by a weakened pound.

The Bank of Scotland pre-empted this move last week when it wrote to 1.3 million business customers warning that they could start imposing charges on credit balances; effectively imposing negative interest rates.

This would follow moves by banks in Switzerland and Sweden. Even if negative interest rates are not introduced for individual savers, interest rates of practically zero will see hard-earned nest eggs shrink in real terms as the the cost of living rises.

This will be a huge blow to thrifty pensioners who did though they had done ‘the right thing’ throughout their working lives by putting money aside for retirement. The over 65s form a disproportionately high percentage of the west Wales population, and as they are forced to further tighten their belts, this will pile more pressure onto struggling local businesses in one of the most deprived areas of the UK.

Mrs Alice Hughes from Pembroke Dock, who relies on a small nest egg to top up her state pension, told the Herald: “I’ve always been careful and put money away in the building society. With interest rates the way they are now, I’m wondering whether I’d be better off keeping it under the mattress.”

Mr Ronald Edwards from Cardigan, who is due to retire in six months time said: “I’ve been looking at annuities online, and the amounts being offered are so low, I might as well cash in my pension pot and buy a classic car. At least there’s a chance of it increasing in value.”

In further moves, the Bank of England announced further printing of money to prop up the economy, and revised the growth forecast for 2017 from 2.3% to 0.8%.

With pressure on company pension pots creating difficult decisions for managers about whether to invest in wage increases or filling the pension deficit, workers in west Wales could see their already low wages stagnate for the foreseeable future.

Mark Carney, the Canadian Govener of the Bank of England said that this was a necessary step to adjust to the new reality post-Brexit, in which the economic outlook has changed.

There may be some positive news for those with savings in stocks and shares, which receive a boost when interest rates are cut.

There is more positive news for mortgage holders and home-buyers on variable interest rate mortgages, who will see a drop in their monthly payments.

As the pound continues to slide against the dollar, holidaying in the UK may become a more attractive option to families feeling the squeeze, providing a boost to the west Wales tourist industry.

How are you being affected by the record low interest rates? Email [email protected].

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News

Search efforts continue for missing teenager Luke Stephenson

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THE family of missing teenager Luke Stephenson have issued a heartfelt plea to the public to aid in the search for their son.

Luke, 19, was reported missing on April 13 after last being seen near Pembrokeshire’s Hobbs Point. Despite the multi-agency search operation being called off on April 19, efforts by police divers and helicopter searches have continued around the Cleddau sporadically.

The teenager’s disappearance triggered a huge emergency services, involving local police, the National Police Air Service, and coastguard teams.

Luke was last noted wearing a distinctive long grey coat, black trousers with a white stripe, and black trainers, also with a white stripe. The family have this week circulated a new photograph of the grey coat to assist in identification efforts.

While the formal search has been scaled back, the police remain committed to following up on any leads. “Whilst this is an extremely difficult decision to make, we are satisfied that we have done absolutely everything we possibly can to try and locate Luke,” a police spokesperson stated. Periodic searches have since been conducted around the area he was last seen, based on ongoing reports and sightings.

Luke’s family continues to hold on to hope, describing him as jovial, kind, and humorous—”a typical 19-year-old lad.” Beth Parker, a family friend, has been particularly active in rallying support from the community. “Calling all dog walkers, fishermen, and anyone able to help,” she posted on social media, encouraging those who frequent the coast to remain vigilant and report any potential clues.

The family has also requested the public to check personal CCTV and doorbell footage, especially from the night of Luke’s disappearance. This initiative aims to gather more information about his movements or possible whereabouts after he was last seen.

Several reported sightings, including a potential sighting of a person in the water near Valero and subsequent alerts, have unfortunately not led to any substantial findings.

Authorities urge anyone with information, no matter how minor it may seem, to come forward. Contact can be made via the Dyfed-Powys Police’s dedicated online portal, email, or phone line. There is also a provision for those who are deaf, hard of hearing, or speech impaired to text the non-emergency number.

The police said to The Pembrokeshire Herald on Tuesday (Apr 30): “While the multi-agency search for Luke was concluded on the April 19, periodic searches of the area around Hobbs Point and the river have been completed by the National Police Air Service and the force Dog section over the last week. Further enquires or searches will be led by any information received.

Anyone who has any information is asked to contact police , either online at https://bit.ly/DPP101Online, by emailing [email protected], or by calling 101. If you are deaf, hard of hearing or speech impaired text the non-emergency number on 07811 311 908.”

As the search enters another week without resolution, the community and authorities alike hold onto hope, spurred by the family’s resilience and the continued efforts of search teams.

The focus remains finding Luke, a much-loved young man whose absence has left a void in the community.

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Family allowed to stay living at ‘Love Shack’ near Narberth

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A FAMILY can stay in their Pembrokeshire ‘Love Shack’ built without permission after being given the go-ahead by county planners.

Estelle Burton and family had applied for a certificate of lawfulness for her daughter, son-in-law and their three children to stay at The Love Shack, Middle Redford Farm, Princess Gate, near Narberth; the family having lived on site for many years.

An application for a certificate of lawfulness allows applicant to stay at a development if they can provide proof of occupancy over a prolonged period, normally in excess of four years.

A supporting statement by agent Hayston Developments & Planning Ltd says: “The land in the client ownership totals circa 20 acres and includes a farmhouse to the north (where Mr and Mrs Burton live), several farm sheds, outbuildings and the [application], which is lived independently by Mr and Mrs Dean and Kimberley Bethel and their three children. The farmhouse only has four bedrooms and as such there is no room for any other family members.”

It adds: “The purpose of this application is to establish the fact that an adapted four-bedroom dwelling structure which is fixed to the ground has been the permanent home of Mr and Mrs Bethel for a period in excess of four years prior the date of this submission. If that is the case, the dwelling would remain immune from enforcement action.”

The statement provides witness statements and letters setting out a timeline of occupancy “and the various incremental works which had been made to the lodge to effectively create a fixed structure and permanent dwelling on the site”.

“The overall aim of the works were to make it more structurally stable, particularly during poor and windy weather, and to provide a warmer internal living environment with the existing log burner plus the addition of full cladding. And furthermore, the addition of more internal space through the installation of the two extensions.”

It lists a timeline of works going back as far as 2006 with a wooden chalet, with the later static mobile home, known as the ‘Love Shack’ on site in 2018, being used for day-to-day living, followed by works including satellite TV and phone connection, a second chalet adjoining, and two extensions.

An officer report recommended the certificate of lawfulness be granted on the basis it had “been on the site and occupied as an independent dwellinghouse for a period of time in excess of four years or more preceding the date of the application for this certificate”.

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Community

Community pub hopes for closed Pembrokeshire inn dashed

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HOPES a closed south Pembrokeshire inn could become the latest community pub in the county have been dashed after a lack of funds were raised; the owner now planning to turn it into two homes.

Earlier this year, The Parsonage Inn, St Florence closed its doors to the public, and a public meeting – at the behest of St Florence Community Council – was held in early February with hopes it could be run as a community venture.

Western Telegraph: The Parsonage Inn, St Florence. Picture: Google Street View.
In the last 20 years has seen eight tenants, with the closure coming about “due to the prolonged and sustained pressures faced to both the economy though the cost-of-living crisis with less trade, along with increases in utility, food and alcohol bills, as well as increases in business rates, minimum wage increases and further legislation on waste disposal”.

Local county councillor Rhys Jordan, who supported the meeting, said there was a strong desire to see The Parsonage Inn reopen its doors, but there was a need to temper enthusiasm with realism.

Western Telegraph: The packed meeting to discuss The Parsonage Inn, St Florence.
However, hopes the Parsonage would become a community pub have come to no avail, as just three per cent of the funds needed were raised.

Owner Daniel Scriven is now hoping, in a recently submitted application, to turn the pub into two homes.

Referring to the hopes The Parsonage could become a community pub, an application before Pembrokeshire planners says: “Following its closure in January 2024 a community meeting was held on February 5 in the village hall to discuss its future, during the meeting the challenges facing the hospitality industry were discussed and the community reviewed raising funds to take the Parsonage Inn into community ownership.

“Regrettably we understand following the meeting it has become evident that only three per cent fundraising of the asking price has been raised and no offer or approach to the applicant/owner has been made by the community to the owner to put forward a viable proposal, it would therefore appear unviable.

“Following its closure in January 2024, in March 2024 the final tenant along with some members of the community have opened a small community social club in the village hall during evenings on a more ad-hoc basis which would appear more reflective in scale and usage to the community it serves, alongside The [nearby] Sun Inn.”

The application will be decided by county planners at a later date.

Community pubs have become something of a Pembrokeshire story, with the Tafarn Sinc, Rosebush becoming community-owned after a huge fund-raising effort that attracted worldwide interest – including support from Hollywood star Rhys Ifans.

Other community pubs include The Cross Inn, Hayscastle, and the Tafarn Crymych Arms, Crymych, where volunteers raised more than £200,000 to buy the pub.

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