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New vision to secure a bright future for Wales’ retail sector

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BETTER pay and conditions, greater job security, improving career progression and a commitment to creating a skilled future workforce are at the heart of a new vision to revitalise Wales’ retail sector being launched this week by the Welsh Government.

The Shared Strategic Vision for the Retail Sector sets out how the Welsh Government, the sector and trade unions will work together in social partnership to ensure retail has a bright and sustainable future in Wales, which provides fair and rewarding career opportunities for its current and future workers.

The retail sector is hugely important to the Welsh economy. It is Wales’ largest private sector employer, providing jobs to more than 114,000 people, contributing 6% of Wales’ GVA.

The Welsh Government values the jobs, goods, community services and benefits the sector provides. Ministers are committed to working with partners to support a sustainable and prospering retail sector that remains at the heart of Welsh communities, which offers people fair work and real career opportunities.

The changing face of our town centres is vital to retail and in turn our town centres need a successful and resilient retail sector.

The Vision outlines the major challenges facing the sector, and defines the key areas where action is needed.

These include:

  • Improving career opportunities within retail, with a commitment to progressively improving pay, terms and conditions beyond statutory minimums, ideally through collective bargaining.
  • Greater job security, particularly in ensuring workers being offered guaranteed hours and sufficient notice of changes in shift patterns.
  • Retail becoming an exemplar of workforce equality, diversity and inclusion – with proactive steps taken to address under-representation, occupational segregation and pay gaps.
  • Ensuring fair working conditions and a safe working environment, with retail workers having an effective voice in decisions that affect them and their working conditions.
  • Ensuring Wales’ town centres and high streets are thriving, through interventions such as investment, including ‘Transforming Towns’ regeneration investment, support for non-domestic rates and, through the Welsh Government’s Town Centre First approach, making these settings the preferred location for workplaces and services.
  • Addressing skills shortages. Building on the Welsh Government’s Plan for Employability and Skills and in partnership with the sector and trades unions, Ministers are committed to helping to provide the sector with a future-proofed workforce. The plan sets out actions to both upskill existing workers and attract new entrants to the sector.
  • Helping retailers to seize the opportunities of decarbonisation and digitalisation by, for example, reducing their reliance on fossil fuels, minimising the carbon footprint of their supply chains and investing in and maximising the potential use of digital technology.

Economy Minister, Vaughan Gething and Deputy Minister for Social Partnership, Hannah Blythyn, are jointly launching the Vision today during a visit to independent bookshop, Storyville and Boots the Chemist in Pontypridd town centre.

Economy Minister, Vaughan Gething said: “Retail in Wales is hugely important to our economy, our communities, and our well-being as a nation. Retail is all around us in every part of Wales – in every village, town and city. We very much value the jobs, goods, community services and benefits it provides.

“Our appreciation of the retail sector, as a cornerstone of the foundational economy, has only grown through the Covid pandemic – but we know a successful and resilient retail sector does not happen by accident. That’s why it is important we nurture the environment in which it can grow and adapt, especially in response to shift to a more circular economy.

“The shared vision we are launching today commits the Welsh Government and the retail sector to an ongoing dialogue and close working to rise to the challenges ahead. We know there are no quick fixes, easy solutions, or infinite budgets. What we do have, however, is a willingness to work in social partnership, with the Welsh Government, employers, business representative bodies and trade unions working together to understand where we are now, where we want to get to, and how we can get there.

“The Welsh Government is determined to improve the quality of life and the conditions that will make Wales an attractive place for individuals and businesses to plan their futures. I firmly believe the retail sector has a vibrant future, and will continue to be a key player within the Welsh economy.”

Deputy Minister for Social Partnership, Hannah Blythyn said: “The retail sector is heavily dependent on its workforce. A better deal for retail workers – better pay, better terms and conditions, better training and better career prospects will help the retail sector overcome workforce recruitment and retention challenges, particularly at a time of high employment. This will help project retail as a long-term career of choice and equip the workforce to deliver even better levels of customer service.

“We must ensure retail workers have a genuine voice, predominantly through their trade unions, in helping to shape their working conditions and the future of work in the sector. Embedding the spirit of social partnership – where businesses and trade unions work together – must be a cornerstone of the retail sector of tomorrow.”

Sara Jones, Head of the Wales Retail Consortium said: “The Retail Vision provides welcome recognition of the retail industry, and our workforce, by the Welsh Government. The covid pandemic shone a spotlight on just how important a role our retailers play, as drivers of the economy and as community champions at the heart of our towns. The industry continues to face structural challenges that have only been accelerated over the last two years, however we know that there are opportunities to flourish and to create sustainable high streets and ensure retail remains a career of choice for many.

“The sector has a strong tradition of innovating and being at the forefront of new ideas, to the benefit of Welsh customers, and we look forward to building on these foundations in a truly collaborative approach with policymakers and leaders at all levels. Whether it be through the industry’s Climate Action Roadmap, Diversity and Inclusion Charter, or our significant charitable giving, retailers are continuously looking at ways to promote equality and opportunity for our workforce, suppliers and our communities, and be an effective contributor to society. We look forward to the next stage of the Retail Vision and the WRC being a key partner in delivering on these aspirations.”

Nick Ireland, Usdaw Regional Secretary said: “We have been working with the Welsh Government and our social partners for some time on how we can together tackle long established issues in the retail industry and we are delighted with the Vision that they have announced today. The industry as a whole was struggling before Covid-19 with record numbers of shop closures and job losses, so the ongoing commitment to support high streets and regenerate town centres is crucial.

“We not only need to secure jobs through helping the retail industry to prosper, but they must be good jobs with decent pay, that promote equality and bring an end to insecure contracts, which we have consistently called for in our ‘New Deal for Workers’ campaign. That is best achieved through collective bargaining with trade unions, which is an important part of this Vision for retail in Wales.

“Usdaw stands ready to build on the work we have done with the Welsh Government, business representative groups and by engaging with retail employers and seeking to deliver a highly motivated, well-trained and respected workforce. For too long retail work has been undervalued, this Vision gives us the opportunity to change that and give Welsh retail staff the dignity they deserve.”

The Strategic Vision will be followed by a delivery-focussed Action Plan in the coming months.

Business

Legal call to stop £6m expansion of holiday park still ongoing

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A LEGAL request to overturn a Pembrokeshire County Council-granted approval for a £6m expansion of a south Pembrokeshire holiday park is still ongoing despite a previous announcement it had been turned down, county planners heard.

Back in February, Pembrokeshire planners were informed a legal challenge to a November 2023-granted application for works at Heritage Park, Pleasant Valley/Stepaside had been launched.

The holiday park scheme had previously been backed twice by county planners after a ‘minded to approve’ cooling-off period was invoked as it was against repeated officer recommendations to refuse.

The controversial scheme by Heritage Leisure Development (Wales) Ltd includes the installation of 48 bases for holiday lodges, a spa facility at a former pub, holiday apartments, a café and cycle hire, equestrian stables, a manège and associated office, and associated works.

It is said the scheme, next to the historic remains of the 19th century Stepaside ironworks and colliery, will create 44 jobs.

Officer grounds for refusal, based on the Local Development Plan, included the site being outside a settlement area.

Along with 245 objections to the current scheme, Stepaside & Pleasant Valley Residents’ Group (SPVRG Ltd) – formed to object to an earlier 2019 application which was later withdrawn – also raised a 38-page objection, with a long list of concerns.

A failed legal challenge to try and overturn a council decision to approve three separate planning applications at Heritage Park was launched in 2021 by SPVRG Ltd, which failed in early 2022; the council awarded costs of £10,000 despite external legal fees paid totalled £34,000 plus VAT.

At the June meeting of Pembrokeshire County Council’s planning committee members were told the recent judicial review call by SPVRG Ltd had been refused by the high court, the grounds put forward “not considered to be reasonably arguable”.

Committee chair Cllr Simon Hancock said a council request for SPVRG Ltd to pay costs incurred by the county council in defending the claim had now been submitted.

Following that, at the July planning meeting, in his chair’s announcement, Dr Hancock gave a clarification on the position.

“I can advise that whilst the application for judicial review was refused by the High Court Judge on May 31, 2024, the appellants have challenged this decision.

“This matter is listed for a renewal hearing, and accordingly the legal challenge is still in progress; I’m hoping that’s a clarification from the announcements I made back in June.”

Responding to the clarification, Trish Cormack of SPVRG Ltd pointed out it was not “an appeal,” adding: “Firstly, we are ‘requesting the decision to be reconsidered at a hearing,’ which is a bit less dramatic than ‘challenging the decision’.

“Secondly, the claim remains open for seven days after the decision on the papers in expectance of you requesting the hearing, and the form 86B comes attached to the decision with the case number already filled in for you. This is just part of the process for a judicial review. If the Judge really thought there were no merits to the case, he was free to issue a ‘without merits refusal’.

“That would have ended the claim there and then. The only way to resurrect it would have been to take it to the appeal court. But he didn’t.

“Thirdly, the announcement makes it sound like our ‘challenge’ had happened after their previous announcement, whereas in fact we only had seven days from May 31 in which to make the request, so they knew the moment we did (June 7) because we had to simultaneously email it to the court, PCC and the developer’s agent. So, they knew full well that there would be a renewal hearing.”

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Business

5 signs your car’s air conditioner needs regassing

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Nothing is more frustrating than switching on your car’s air conditioning in the sweltering heat, only to be met with a blast of warm air. And with Britain likely to face more frequent and intense heatwaves due to climate change, well-functioning AC could become more a matter of health and safety than comfortable travel. 

While there are several reasons why your car’s air conditioning might not perform optimally, one of the most common causes is the need for a regas. Below, we explore the key signs that indicate your car’s air conditioner may need regassing.

  1. Warm air blowing from the vents

If the air blowing from the AC vents is warm or not as cold as it used to be, then the system likely has low levels of refrigerant – the chemical responsible for absorbing heat and cooling the air that’s then blown into the cabin. When the levels are insufficient, the system cannot cool the air effectively, resulting in warm air being circulated.

  1. Inconsistent cooling

If the temperature of the air fluctuates while the AC is running, the system is likely struggling to maintain a consistent cooling performance. This inconsistency can be particularly noticeable during longer journeys, where the air may start off cool but gradually become warmer. 

  1. Reduced efficiency

Reduced efficiency in your car’s air conditioning system can manifest in several ways. You might notice it takes longer for your vehicle to cool down, or that the system can’t maintain a cool temperature on scorching days. This reduced efficiency is often due to low refrigerant levels, which prevent the system from operating at its full potential. 

  1. No noticeable difference

Similarly, if there’s little to no noticeable difference in air temperature when you switch the AC on and off, this strongly indicates the refrigerant levels are critically low and a regas is needed to restore the system’s functionality.

  1. You can’t remember the last regas

Finally, if you cannot remember the last time your car’s air conditioning system was regassed, it’s likely overdue. Most manufacturers recommend regassing every two years to ensure optimal performance. Even a well-maintained system will lose refrigerant over time, so regular top-ups are needed to keep the AC running efficiently.

When to get a regas

If you notice any of these signs, you should book an aircon regas service with a professional. They can perform a proper inspection and resupply your AC system if necessary. 

Getting a regular service every two years or so will help keep your AC system working efficiently, keeping you safe and comfortable in hot weather and prolonging the life of your car’s air conditioning system.

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Business

Commercial property demand falls but investment enquiries for industrial space up

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OVERALL occupier demand for commercial property in Wales declines at all-sector level
Industrial space continues to outperform both retail and office sectors
Surveyors in Wales more optimistic on the 12-month outlook for capital values
Occupier demand for commercial property in Wales fell in Q2 after rising through the first quarter of the year according to the latest Royal Institution of Chartered Surveyors (RICS) Commercial Property Monitor as the industrial sector continues to outperform both office and retail.

A net balance of -17% of surveyors in Wales reported that occupier demand fell at all-sector level through the second quarter of the year. Looking at the subsectors, demand for both office and retail space was reported to have declined, with net balances of -25% and -27% respectively. Occupier demand for industrial space was noted to have fallen flat through Q2.

At all-sector level, a net balance of -19% of surveyors in Wales reported a fall in investment enquiries. Investment enquiries were up in the industrial sector, with a net balance of 6% of respondents noting an increase. A net balance of -36% of survey respondents noted a fall in demand from investors, and -27% reported a fall for office space.

Capital values are expected to fall in the short term, with a net balance of -13% anticipating a decline over the next three months at all sector level, down from 7% in Q1. Looking at the subsectors, industrial space is the only subsector in which capital values are expected to rise with a net balance of 27% anticipating an increase. A net balance of -23% of Welsh respondents expect a fall in retail space and -43% in office space.

On the 12-month horizon, surveyors in Wales appear more upbeat with a net balance of 13% of respondents anticipating a rise in capital value expectations over the next year at all-sector level. Surveyors in Wales anticipate that capital values for both office and industrial space will rise over the next year, 8% and 47% respectively whilst retail space is expected to fall (a net balance of -17%).

Chris Sutton of Sutton Consulting Ltd in Cardiff commented: “The industrial market remains strong, particularly along the M4 corridor with quoting rents of £9.00+psf on St Modwen Park, Newport for Grade A large units. On the opposite side of Newport, KLA has developed a 220,000 sq ft production / R&D facility at Imperial Park. Other bright spots are the data and energy sectors. In Cardiff, Grade A offices remain in demand as tenants readjust their occupational footprints to increased tech and new working practices.”

Haydn Thomas of Hutchings &| Thomas property consultants, in Newport added: “The South Wales commercial property market remains fairly static, with some sectors such as industrial space and roadside drive thru doing well. Lack of supply of front door owner occupier office space remains an issue especially from 3-5,000 sq ft. Demand for office space with larger floor plates remains low; Cardiff City may be bucking this trend slightly. Retails in city centres remains a problem, however, some smaller market towns seem to be doing well in terms of occupancy.”

Commenting on the UK picture, RICS Senior Economist, Tarrant Parsons, says: “Overall activity remains relatively subdued across the UK commercial property market, with conditions seen as generally flat in Q2. That said, respondents now feel the market is moving towards the early stages of an upturn following a challenging couple of years.

“The near-term path for monetary policy will be key to the outlook for CRE investment going forward, although hopes of an immediate easing in lending rates may be optimistic given still sticky services inflation (even if the headline rate has returned to target). Away from the cyclical picture, a strong structural trend that continues is the outperformance of prime office markets compared their struggling secondary counterparts. In particular, prime offices across London are seen delivering solid capital value and rental income returns over the coming twelve months.”

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