Politics
Haverfordwest airport could be leased out to make it ‘cost-neutral’
HAVERFORDWEST airport could be leased out as part of plans to make the council-run facility, currently forecast for a £119,000 deficit, cost-neutral to the authority.
Last year, Pembrokeshire County Council’s Cabinet, members heard the financial position at the council-supported Haverfordwest/Withybush airport deteriorated in 2022/23, with an out-turn position for 2022/23 of £238,000.
At the March 26 meeting of Pembrokeshire County Council’s services overview and scrutiny committee members received a report on the airport, stating: “In the financial year 2022-23 the airport operated at a cost to the council in the region of £238,000, and, whilst highly valued, this level of spend cannot be justified in the current financial climate when placed against many of the statutory services the council has to deliver.
“Following an extensive review of the operations of the airport, this loss has been considerably reduced, however the airport continues to operate at a loss, which this financial year 2023/24 is forecast to be £119,000.”
The report lists reasons for the halving of this deficit, including: increased profit margin on fuel £40,000; increased landing fees £7,000; reduction in staff training £8,000; reduction in equipment and equipment maintenance costs £10,000; and a reduction in one off costs of hedges and sewers £53,000.
Five options were presented to members as ways of making the airport cost-zero: retain the airport with a drive towards becoming cost neutral; close the airport tower; sell the airport on a freehold or long leasehold basis; lease the airport to a current stakeholder and established aviation company; and finally to advertise the airport to let on the open market.
Of the options, the first, could generate around £15,000 a year extra through a number of opportunities, the report said, but added that significant capital investment was needed in the facility, including ground lighting close to the end of its useful economic life, which could cost £400,000-£500,000, along with a corroded fuel storage tank, needing to be replaced at a cost of £200,000.
Some informal conversations have taken place around the favoured option, to lease the airport to a current stakeholder, members heard.
“Although at this stage detailed conversations have only been had with one party, the opportunity to lease will also be offered to other existing stakeholders,” the report stated.
“It is also likely that an existing stakeholder might be a ‘special purchaser’ who would pay more than the market as their existing interests will also benefit.
“Following these discussions, it seems there is a potential that the council would be able to agree a lease of the airport to an experienced and well-established aviation company who is an existing stakeholder with a good track record.”
It finished: “This option would make the airport cost neutral to the council from the day the lease is signed whilst also ensuring that an operational airport remains for Pembrokeshire to benefit from.”
Councillor Di Clements proposed that option be backed, seconded by Cllr Rhys Jordan, with members unanimously approving the option.
A final, more detailed recommendation is to be presented to the council’s Cabinet at a future meeting.
If approved, the lease would be dealt with under the delegated authority of the Assistant Chief Executive.
Business
Welsh Government rejects Council’s tourism tax plea
THE WELSH GOVERNMENT has rejected a request from Pembrokeshire County Council to reconsider its 182-night rule on holiday letting.
In a letter to the local authority from Wales’s Finance Secretary, Mark Drakeford, the Welsh Government said it would not reconsider its approach until it had two years’ data on its effects.
The Labour government introduced the 182-night rule to target property owners who casually rent properties and pay neither the increased Council Tax premium on second homes nor Small Business Rates. By encouraging owners to release properties onto the for-sale market, the government wants to increase the availability of homes in Wales’s holiday hotspots. It’s a blunt tool, and there have been predictable but unforeseen consequences (at least by the Welsh Government). The rule’s introduction has reduced the number of properties upon which owners pay either the enhanced rate of Council Tax for second homes or pay business rates.
A LETTER TO MARK
On October 17, Pembrokeshire’s county councillors instructed the Council leader to write to the Welsh Government asking for a reduction in the 182-night rule.
Although councillors agreed an increase in the previous threshold was welcome, many felt the letting target was too high for many viable businesses.
The letter to the Welsh Government said: “Whilst 182 days is certainly achievable in some of our main tourist towns such as Tenby, Saundersfoot, and Newport, it was very difficult to achieve this in other parts of the county, particularly away from the sea.”
The letter said the rule is having a detrimental effect on Pembrokeshire’s vital tourism industry.
Council Leader Jon Harvey’s letter also said: “We do not wish to implement any local policy decisions that would conflict with Welsh Government, and, as such, I am formally writing to you to ask the Welsh Government to consider reducing the 182 days let threshold for self-catering properties to qualify for Non-Domestic Rates.”
DRAKEFORD SAYS “NO”
In a reply from Mark Drakeford, which was circulated to all Council members, the Welsh Government refused to reconsider its position ahead of the next tourism season.
Mr Drakeford said: “The primary aims of our changes to local taxes are to ensure property owners are making a fair contribution and to maximise the use of property to the benefit of local communities. This could include benefits arising from increased occupancy for short-term letting or the release of some properties for sale or rent as permanent homes for local people.
“As a consequence of the changes, self-catering properties are classed as non-domestic only if they are being used for business purposes for the majority of the year. This provides a clearer demonstration that the properties concerned are being let regularly and are making a substantial contribution to the local economy.”
Mr Drakeford claimed that information from businesses engaged in holiday letting showed the Welsh Government’s approach was having the effects Cardiff Bay desired. That seems contrary to data provided by the Wales Tourism Alliance and the figures produced for Pembrokeshire County Council’s budget.
Confirming the Welsh Government has no plans to reconsider its position, Mark Drakeford said: “We understand that there may be a period of adjustment, as some property owners consider their options and determine how to respond. It will be important to allow time for the changes to embed before drawing any firm conclusions.
“The initial impact on the number of self-catering properties classified as non-domestic will be known after April 2025, when two years will have elapsed since the changes took effect. This is when the Valuation Office Agency is expected to have completed a full round of routine compliance checks.”
Claiming that reconsidering the position would cause “uncertainty” in the private letting sector, Mr Drakeford wrote: “There are no plans to undertake a formal review in the short-term, nor in isolation from the broader package of measures within our three-pronged approach to tackling the impact that large numbers of second homes and holiday lets can have on communities and the Welsh language.”
That’s not only a “no”, it’s a “no” with knobs on.
YOU ALREADY HAVE ALL THE TOOLS YOU NEED
Mark Drakeford doubled down on his “no” by claiming Pembrokeshire County Council already had all the tools it needed to address the problems caused by the tourism tax.
He said: “We have extended the exceptions to council tax premiums to include properties with a planning condition which specifies that the property may only be used as a holiday let or prevents its permanent occupation as a person’s sole or main residence. We have also provided
guidance for local authorities on the use of discretion to tailor their arrangements to reflect local circumstances.”
Quite how designating a property for a holiday let allows its release onto the local housing market where homes for local families are in short supply is unaddressed.
The Finance Secretary continues: “Where a self-catering property does not meet the letting criteria and is not subject to a planning condition, the Welsh Government has provided local authorities with as much discretion as possible to consider the approach to take for the benefit of your communities.
“We consider our local taxation regime will help local authorities to incentivise the right balance between capacity within the self-catering tourism sector, and [its[ economic benefits and supporting viable communities of local residents to live and work in these areas.”
If, as Mark Drakeford claims, Pembrokeshire County Council has all the powers and options it needs to address the issue, there will, no doubt, be a flood of information coming from the Council’s Cabinet Member for Finance, Joshua Beynon, to show members precisely where the rabbit that should be in the hat is hidden.
News
Pembrokeshire County Council prepares for severe weather impact
THE COUNCIL says it has initiated emergency preparedness plans as the county braces for severe weather conditions this weekend. Additional staff are on standby to tackle potential issues across the highways network and in local communities.
Key measures announced include:
- Facility closures: All council-operated facilities, including leisure centres, libraries, parkland, and Waste and Recycling Centres, will remain closed on Saturday, December 7.
- Public transport suspension: Bus services will be halted, and Transport for Wales has been informed of the disruption.
- Cleddau Bridge restrictions: High-sided vehicles are advised to avoid the Cleddau Bridge, which may face a full closure overnight and throughout Saturday due to high winds.
- Emergency shelter: An emergency night shelter has been opened and will remain operational until Monday, December 9, to support those in need.
- Community support: Care providers and care homes have implemented contingency plans to safeguard Pembrokeshire’s most vulnerable residents.
The council urges residents to remain vigilant and stay updated via Pembrokeshire County Council’s social media channels over the weekend.
For more information and updates, monitor local news outlets.
News
Welsh Conservatives elect new leader
CLWYD WEST Member of the Senedd (MS) Darren Millar has been elected unopposed as the new leader of the Welsh Conservative Group in the Senedd.
Millar’s appointment follows unanimous public endorsements from all 15 of his colleagues in the Welsh Parliament. The nomination period for the leadership role closed at 5:00pm today.
Commenting on the election, Bernard Gentry, Chairman of the Welsh Conservative Party, said:
“I am pleased to announce that Darren Millar MS has been elected unopposed as the new Leader of the Welsh Conservative Group in the Welsh Parliament.
“In recent months, we’ve been winning numerous local government by-elections across Wales, and our action days have recruited hundreds of new volunteers and activists. Working together as one united party under Darren, Mims, and myself, I am confident we can achieve further success at the Senedd elections in 2026 and bring to an end the quarter of a century of Labour rule.
“I wish Darren every success as he takes the helm.”
The newly elected leader, Darren Millar MS, expressed gratitude for the support he has received:
“I am humbled by the incredible support of my colleagues in the Senedd and the kind messages I have received from Conservative Party members and members of the public across the country.
“Andrew RT Davies will be a difficult act to follow, but I am determined to build on his legacy as we take the fight to our political opponents in the run-up to the Senedd elections in 2026.
“After 25 years of Labour failure, Wales is crying out for hope and change. I look forward to setting out our plans to deliver just that in the weeks and months to come.”
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