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)

SPECSAVERS HAVERFORDWEST has relocated to a larger, state-of-the-art premises in the Riverside Shopping Centre, becoming the largest Specsavers store in Wales following a £1.2 million investment by local partners.

The grand opening of the new landmark store took place on Monday 16 December, with customers and local dignitaries, including several mayors, in attendance.

On arrival, guests were welcomed with performances from the Haverfordwest Male Voice Choir and local musician and dispensing technician, Kyle Kirkhouse, followed by a ribbon cutting by one of the store’s long-standing customers, Madaline Roberts, who runs the Milford Haven branch of the Macular Society.

William McNamara, owner of Bluestone National Park Resort and patient of Specsavers Haverfordwest was also in attendance.

To encourage guests to explore the new store and learn fun facts about optometry and audiology, staff organised an interactive treasure hunt.

‘After years of planning and preparation, we are delighted to officially open our brand-new store,’ says Wayne Jones, retail director. ‘We are confident that this investment will bring lasting benefits to the local community for years to come.’

He adds, ‘A heartfelt thank you to everyone who supported our relaunch event. It was incredible to see so many customers, both familiar faces and new ones, celebrating with us. I also want to extend my deepest gratitude to our incredible team, whose hard work and dedication made this all possible. Without their commitment, none of this would have materialised.’

The new premises at 21 Riverside Quay offers cutting-edge facilities and enhanced services to meet growing community needs with 14 test rooms, including two dedicated audiology suites.

As the largest Specsavers practice in Wales and one of the largest in the UK, the store is equipped with advanced diagnostic technology to deliver exceptional care. These services will also help alleviate pressure on local NHS resources, providing convenience and vital support to residents who previously had to travel significant distances for specialised treatment.

Narbeth local, Sandra Tarrant, previously needed private consultations in Swansea, but she was referred to ophthalmic director, Andy Britton by her consultant earlier this year, who recognised his expertise and the store’s advanced diagnostic equipment.

Mrs Tarrant explains: ‘The staff at Specsavers Haverfordwest are highly trained and genuinely care about your eye health. I no longer face long journeys for tests, and the team’s professionalism gives me complete confidence in their care. You feel like you’re in good hands, with staff who take you seriously and don’t pass you around.’

Partners Andy Britton and Wayne Jones are also passionate about shaping the future of optometry. The new store will provide hands-on training opportunities for optometrists pursuing advanced qualifications such as Glaucoma and Independent Prescribing certificates, ensuring they gain essential clinical experience in a world-class facility.

The new Specsavers Haverfordwest store will be open seven days a week, offering flexible appointment times to cater to the community’s needs. To book an appointment or learn more about the services available, visit www.specsavers.co.uk/stores/haverfordwest.

FERRY traffic at Pembroke Dock Ferry Terminal has surged following the temporary closure of Holyhead Port due to severe damage caused by Storm Darragh. The Port of Milford Haven, which owns and operates the terminal, has implemented measures to manage the increased volume of vehicles and minimise disruption in the area.

Holyhead Port, a key hub for ferry services between Wales and Ireland, has been closed since December 7. Repairs to storm-damaged infrastructure are ongoing, with reopening not expected until at least Thursday, December 19. The closure means more lorries in Pembroke Dock.

Irish Ferries has temporarily replaced the Isle of Innisfree ferry with the larger James Joyce on its Rosslare route..

Traffic management plans in place

Tom Sawyer, Chief Executive at the Port of Milford Haven, said: “We are expecting to see ongoing increased traffic to Pembroke Dock Ferry Terminal. To manage traffic in the area, we have opened up different areas of the Port to reduce the number of vehicles queueing at the Port entrance. We have also been liaising with Pembrokeshire County Council’s Emergency Planning team to identify other areas for longer-term parking, if needed, so that traffic around Pembroke Dock is managed as effectively as possible.”

Sawyer acknowledged the inconvenience to local residents and businesses and expressed gratitude for their understanding: “Our priority is to ensure the safe and effective operation of all traffic on the Milford Haven Waterway. We’d like to thank everyone, particularly those living in and around the Pembroke Dock area, for their understanding and support. We will endeavour to take all actions possible to keep the area as uncongested as possible.”

Concerns over Christmas delays

The closure of Holyhead Port has raised concerns about delayed Christmas deliveries, as the route is a critical link for goods between Ireland and the UK. An Post, the Irish postal service, has reassured customers that alternative routes are being utilised, and the backlog of parcel trucks at Holyhead is decreasing.

A spokesperson for Holyhead Port stated: “Safety is of paramount importance to Holyhead Port, and a thorough investigation into the extent of the damage and repairs required is ongoing. At this point, it is estimated that the berths will reopen for ferry traffic on Thursday, December 19, at the earliest.”

Local impact and advice

Residents near Pembroke Dock have reported increased congestion due to the diversion of ferry traffic. The Port of Milford Haven continues to monitor the situation closely, working with local authorities to alleviate the impact on the community.

Photo Caption: Increased ferry traffic at Pembroke Dock Ferry Terminal due to Holyhead Port closure (Pic: Martin Cavaney/Herald).