A COMPANY with six care homes in Pembrokeshire has revealed it is facing a £150,000 financial hit due to controversial Budget measures.

The hikes in National Insurance contributions, combined with an increase in the Real Living Wage, are set to cause “12 months of instability,” according to Mike Davies, managing director of Sunset West Care Homes’ holding company, Dale Roads Group Ltd.

The group operates six care homes, including Langton Hall Residential Home in Fishguard, Pen-Coed Residential Home in Saundersfoot, and Woodfield Nursing Residential Home in Narberth. Other homes in the group are Woodland Lodge Residential Home in Tenby, Torestin Care Home in Tiers Cross near Haverfordwest, and Pembroke Haven in Pembroke Dock.

Mr Davies warned that struggling care homes may need to ask families to help cover the cost of care for their loved ones.

He is supporting a new campaign launched by Care Forum Wales (CFW), which calls for social care to receive an NHS-style exemption from National Insurance increases or emergency financial support to prevent care homes and domiciliary care providers from going bust.

Save Social Care campaign

CFW chair Mario Kreft MBE is leading the Save Social Care, Save the NHS campaign, highlighting the issue in letters to Welsh MPs, Senedd members, First Minister Eluned Morgan, and Health Minister Jeremy Miles. Similar letters have also been sent to Prime Minister Keir Starmer and Chancellor Rachel Reeves.

The campaign, supported by the Five Nations Group, warns that third-sector providers, including charities and hospices, face serious risks due to the Budget measures.

Mr Davies shared these concerns, stating that Sunset West Care Homes is looking at an additional bill of more than £130,000 just to cover National Insurance increases. Additionally, the group expects to incur an extra £18,000 annually to cover Statutory Sick Pay costs.

With 169 registered beds across the group, Mr Davies said further financial strain from wage increases could push care homes to the brink unless additional funding is provided by the Welsh and UK governments.

He said: “Operating during Covid stretched staff resources to their limits. Now, with these additional Budget costs, we are facing a snapshot of the challenges ahead.

“If costs remain as projected, we anticipate an extra £130,000 for National Insurance contributions alone. This doesn’t even account for the wage increases yet.”

“Uncharted territory”

Mr Davies warned that the social care sector in Pembrokeshire could face instability, with smaller operators struggling to survive.

He said: “We’ve already seen care home closures, and the likelihood is that smaller operators will find it even more difficult going forward. We are relying on additional funding to meet these new costs.

“Eighty per cent of our occupancy in the county comes from local authority placements. If there’s a shortfall, families might need to provide additional voluntary contributions.”

National funding crisis

CFW has calculated that the care sector in Wales faces a £150 million funding gap due to Budget measures, including a 1.2% rise in employer National Insurance contributions, a cut to the Secondary Threshold to £5,000, and a 5% increase in the Real Living Wage to £12.60.

Mario Kreft MBE said: “It represents a 37% increase in employer NIC for a member of staff earning £25,000 a year. This is effectively a tax on publicly funded care and on working people, which will ultimately impact families.”

Mr Davies echoed these concerns, adding: “We’ve discussed funding issues with local authorities, but they don’t have the money either. It’s going to have to come from the Welsh Government and Westminster.”

Pictured: Sunset West Care Homes group managing director Mike Davies says Budget measures will hit care homes hard (Pic: Sunset/Herald)

CHRISTMAS is often hailed as the “most wonderful time of the year,” but for many, it can bring stress, loneliness, or financial strain, impacting mental health in various ways. Mind Cymru has shared advice to help those struggling during the festive season.

Why Christmas Can Be Challenging

The holiday season can feel overwhelming for numerous reasons:

• Stress and Expectations: The pressure to celebrate while managing personal challenges.
• Difficult Memories: Reflecting on the past or worrying about the new year.
• Financial Strain: Rising costs can make the season harder to navigate.

Sue O’ Leary, Director of Mind Cymru, explains:
“Christmas is a time to celebrate, but it can also magnify feelings—sometimes in a challenging way. It’s important to remember it’s okay to feel this way, and there is support available.”

Tips for Coping

Looking After Yourself

• Be patient with yourself—it’s normal to find Christmas difficult.
• Set boundaries and say no to unhelpful activities.
• Take time out to focus on non-Christmas-related things.
• Remember: the season won’t last forever.

Talking to Others

• Let people know if you’re struggling and how they can help.
• Access online communities like Mind’s Side by Side for support.
• Communicate your preferences for festive activities.

Managing Relationships

• Plan responses to uncomfortable questions in advance.
• Agree on budgets or schedules beforehand to ease tensions.
• Create distance if you’re with people you’d rather avoid.

Planning Ahead

• Prepare items that help you feel comfortable, especially in unfamiliar settings.
• Avoid triggering places or activities if possible.
• Make a list of services with their Christmas opening hours.
• Ensure you have enough medication to last through the holidays.
• Plan something enjoyable for after Christmas to look forward to.

Where to Find Support

If you’re struggling, help is available:

• Mind Helplines: Visit Mind Helplines (closed on Christmas Day, Boxing Day, and New Year’s Day).
• Side by Side Online Community: Available 24/7 at Side by Side.
• Samaritans: Call 116 123 (freephone). The Welsh language line is open 7pm–11pm daily.
• SHOUT Crisis Text Service: Text SHOUT to 85258, available 24/7.
• Coping with Money Worries: Visit the Mind website for advice.

Christmas doesn’t have to be perfect, and it’s okay to prioritize your well-being. Mind Cymru reminds everyone that support is always within reach.

WALES & WEST Utilities has announced the successful completion of essential gas network upgrades in the Johnston area of Pembrokeshire.

The project aimed to ensure the continued safe and reliable supply of gas to homes and businesses, supporting the community’s needs for generations to come. In collaboration with Pembrokeshire County Council, the company implemented traffic management measures to minimize disruption during the work.

Adam Smith, who managed the project for Wales & West Utilities, expressed gratitude to local residents for their patience and highlighted the significance of the upgrades:

“We are pleased to finish this work and would like to thank the local community for bearing with us as we carried it out.

“While most of the gas network is underground and out of sight, it plays a central role in the daily lives of people across the wider area. Whether it’s heating your home, making the family dinner, or having a hot bath, we understand how important it is for your gas supply to be safe, reliable, and there when you need it.

“This work was essential to keep the gas flowing to local homes and businesses today and to make sure the gas network is ready to transport hydrogen and biomethane, so we can all play our part in a green future.”

Wales & West Utilities provides gas emergency and pipeline services to over 7.5 million people across Wales and the southwest of England. If you smell gas or suspect carbon monoxide, they urge you to call 0800 111 999 immediately for assistance at any time of day or night.