Business

Carmarthenshire approves adoption of ‘premiums’ on second homes and empty properties

Published

3 weeks ago

March 12, 2023

IN RESPONSE to the need for more affordable housing in neighbouring Carmarthenshire, the county council there has confirmed it will introduce council tax premiums on second homes and long-term empty properties. These will come into effect from April 1, 2024.

There are concerns at both a local and national level about the impact of second homes and empty properties on our communities.

The Council is working on increasing the provision of affordable housing in Carmarthenshire to bring long-term empty homes back into use and provide safe, secure and affordable homes that will enhance the sustainability of local communities.

A recent consultation drew responses from residents, second homeowners and owners of empty properties on proposals to introduce a Council Tax Premium on properties that are largely empty. The majority of respondents agreed that long-term empty property have a negative effect on local communities in Carmarthenshire.

Welsh Government research in 2021 indicated that second homes can increase local property prices by raising the demand for houses. Together with house price inflation, the clearest direct impact of second homes was to reduce the housing stock.

The Welsh Government announced a three-pronged approach to address what they call a second homes crisis.

Support – addressing affordability and availability of housing,
Regulatory framework and system – covering planning law and the introduction of a statutory registration scheme for holiday accommodation;
A fairer contribution – using national and local taxation systems to ensure second home owners make a fair and effective contribution to the communities in which they buy.

The Government gives local authorities the power to charge, or vary, a council tax premium of up to 300% above the standard rate on second homes and long-term empty properties.

At present, the Council do not apply a council tax premium scheme; second homes and long–term empty properties are charged at the standard council tax rate.

Currently, half the local authorities in Wales apply a premium scheme with the level set by each authority varying from 25% to 100%.

Cabinet Member for Resources, Cllr Alun Lenny said: “There are over 800 second homes in Carmarthenshire and 1,800 houses that have been empty for at least over a year – and a number for many years. Both categories of properties have an adverse effect on local communities.

“The intention of introducing a premium on second homes and long term empty houses is to either encourage greater use of these properties, or ensure that their owners contribute more towards our communities.

“In the case of the long-term empty houses, they have a negative effect on streets, can be the target of vandalism, and are a waste of a resource.

“In our consultation, 61% of respondents agreed that long-term empty housing adversely affects local communities, and a majority agree with charging a premium.

“We intend to charge a 50% premium on houses that have been empty from one to two years, rising to 100% between two and five years, and 200% after five years.

“On the issue of second homes, the answer lies, in part, in the legislation passed by Welsh Government in 2014 which has recently been amended and strengthened. The legislation aims to ensure that second homes, which are holiday lets, either get quality use by being let for at least 182 days a year, which will boost the tourism industry – or that owners pay a premium on the council tax as a contribution towards alleviating the negative impact second homes can have.

“As a Council, we want to tackle this problem in a measured and reasonable way. We’re proposing to charge second homes a 50% premium to start, with a view to raising it to 100% in April 2025. In addition to the seven exemption classes, stipulated in the legislation, we will also consider any other valid reasons for exemptions.

“By the year 2025/26, the total premium for both classes could potentially raise anything up to £3m, or release houses to become homes for Carmarthenshire residents, depending on the response of owners. These additional funds would be a valuable contribution towards helping the County Council maintain essential services at a time of great financial pressure – although, I must emphasise, that the primary aim is to encourage better use of housing in our county.”

Business

Tuk Tuk touring business with franchise hopes gets licence plate call turned down

Published

2 days ago

March 29, 2023

Bruce Sinclair Local Democracy Reporter

A SOUTH Pembrokeshire three-wheeler ‘tuk tuk’ tour business, which has hopes of creating a country-wide franchise has had a call for discreet signage on a support vehicle turned down.

Pembrokeshire County Council’s licensing sub-committee, meeting on March 27, considered an application to amend standard terms and conditions of a private hire vehicle.

The application, by Lorraine Niederlag of Begelly-based Tuk Tuk Time, asked for standard external private hire plates to instead be displayed internally for its “usually affluent” clients.

The application for this change of plates asked: “We wish to request the removal of the large private hire licensing plates, in exchange for more discreet internal plates. The intention is to focus on tours that would compliment our tuk tuk tours.”

The applicants said the charming three-wheeler Tuk Tuks were usually kept to south Pembrokeshire tours, and were not really suitable for county-wide day trips; the support car being used for that.

“As our clients are usually affluent, it would be detrimental to arrive in a pre-booked vehicle with such a ‘taxi’ image. In view of all bookings being pre-booked, we cannot see any safety issues for clients by more discreet signage,” the application added.

At the committee meeting, TUK Tuk Time said it hoped to use the support vehicle, bearing the signage “Wales’ premier travel” for some short trips from its campsite to restaurants until the business grew.

Lorraine Niederlag told members it was hoped that Tuk Tuk Tours could eventually become a franchise, with similar three-wheeler Tuk Tuk and support car schemes running in other parts of the country.

She told members that if the small plates call was turned down the support vehicle would be sold.

Cover image: Giving a shout out to the Rainbow Delivery Squad are Lorraine Niederlag, family and staff of Tuk Tuk Time. Picture: Gareth Davies Photography

Business

MPs to examine opportunities for defence manufacturing and cyber security in Wales

Published

4 days ago

March 27, 2023

Tom Sinclair

THE WELSH AFFAIRS COMMITTEE has today launched (Mar 27) a new inquiry examining the defence industry in Wales, looking specifically at defence manufacturing and cyber security.

From Airbus to Kent Periscopes, Raytheon to Qioptiq, there are over 160 companies supporting the defence sector that are based in Wales. Wales’ defence sector is further enhanced by the Ministry of Defence’s (MOD) Defence and Electronics Components Agency (DECA), based in North Wales, which has a £0.5 billion contract with the US Department for Defense.

However, there are concerns that a decrease in investment from the MOD will erode the prominence of Wales’ defence sector. In recent years, the number of jobs and small and medium sized enterprises (SMEs) in the sector has declined and MOD spending in Wales has fallen by £300 million since 2018. The Committee is keen to examine trends in defence spending and how SMEs can benefit from available opportunities.

Over the course of the inquiry, MPs will look at how important the sector is to the Welsh economy, investigate the opportunities for growth and examine the role of the UK Government in further promoting the defence sector in Wales.

Welsh Affairs Committee Chairman, Stephen Crabb, said:

“From maintaining fighter jets to hosting one of the most advanced aircraft surveillance and intelligence systems in existence, in Wales we have a ground-breaking defence sector that is routinely punching above its weight.

“However, MOD investment in Wales has decreased, as have the numbers of jobs and SMEs in the Welsh defence sector. Over the course of our inquiry, we will be considering the future opportunities and challenges to ensure defence industries in Wales – from defence manufacturing to cyber security – thrive.

“The defence sector is a major employer and helps support local economies across our nation and it is in all our best interests to support Wales’ defence prowess.”

The Committee is inviting written submissions by Friday 5 May. These should focus on, but not be limited to:

What are the reasons underlying the trends in MoD spending in Wales since 2019?
What is the MoD’s understanding of how funding flows from prime contractors to small and medium sized defence sector businesses in Wales?
What is the relationship between Wales-based prime contractors, Welsh academic and research bodies, and the development of new defence technologies?
Can Wales play a role in enhancing the UK’s defence industrial capacity?
Do skills and knowledge exist within Wales’ workforce to support the growth of the Welsh defence sector?
How might the reorganisation of Wales’ defence estate affect employment in the defence sector in Wales?
Will the 10% social value weighting applied to MoD procurement support the Levelling Up agenda in Wales?

Business

Economy Minister congratulates Celtic Freeport consortium on winning bid

Published

4 days ago

March 27, 2023

Tom Sinclair

ECONOMY MINISTE, Vaughan Gething, was in Port Talbot today to congratulate the Celtic Freeport consortium on their successful bid to be Wales’ first freeport, which is set to deliver tens of thousands of new, high-quality jobs in south west Wales.

Last week, the Welsh and UK governments jointly announced the Celtic Freeport in Milford Haven and Port Talbot, and Anglesey Freeport on Ynys Mon, have been chosen as Wales’ first freeports.

The two freeports aim to collectively create around 20,000 jobs in the green industries of the future by 2030 and attract up to £4.9 billion in public and private investments.

The Celtic Freeport will be based around the port of Port Talbot in Neath Port Talbot, and the port of Milford Haven in Pembrokeshire.

The freeport plans focus on low carbon technologies, such as floating offshore wind (FLOW), hydrogen, carbon capture, utilisation, and storage (CCUS) and biofuels to support the accelerated reduction of carbon emissions.

The freeport aims to attract significant inward investment, including £3.5 billion in the hydrogen industry as well as the creation of 16,000 jobs, generating £900 million in Gross Value Added (GVA) by 2030, and £13 billion by 2050.

The Minister visited the port of Port Talbot earlier today, which will become one of the focal points of the new Freeport – which is expected to be operational later this year.

Speaking during a visit to Port Talbot, Economy Minister, Vaughan Gething said: “It was great to be in Port Talbot today to congratulate the Celtic Freeport team on their successful bid.

“From off-shore energy to advanced manufacturing, the Celtic Freeport will help create tens of thousands of new, high quality jobs in the green industries of the future. it will support our highly ambitious plans to reach net zero by 2050, while also supporting our young people to plan their futures here in Wales.

“All this will help us transform the economy of south west Wales, helping us create a stronger, fairer and greener future for local people and communities.”

Roger Maggs MBE, Chair of the Celtic Freeport consortium said: “Wales is on the cusp on an exciting green journey.

“The freeport decision will cause a chain reaction.

“Upgrading our major energy ports in Milford Haven and Port Talbot will enable floating offshore wind, create the cradle to nurture new green tech companies and take a step on the path to greening Wales’ steel industry.

“Now is the time for action so that Wales captures the renewable energy supply chain.”

Andrew Harston, Director, Wales and Short Sea Ports, Associated British Ports (ABP) said: “The roll-out of floating offshore wind, or FLOW, in the Celtic Sea provides a once-in-a-lifetime opportunity for Wales. Port Talbot is the ideal location for the deployment of FLOW, and ABP is ready to invest over £500m in new and upgraded infrastructure to enable this and to ensure first-mover advantage to capture this global market. The Celtic Freeport provides a huge opportunity, and not just for FLOW, but for sustainable fuels and hydrogen too.