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Concern from Bristol Airport as Cardiff eyes £200m in Welsh Government subsidies

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CARDIFF AIRPORT’S bid for a substantial £205 million government subsidy over the next decade has ignited a fierce debate in the UK aviation sector. This funding, announced by Ken Skates, the Welsh Government’s Cabinet Secretary for Transport, aims to safeguard and potentially expand the 5,000 jobs supported by the airport, which the Welsh Government acquired for £52 million in 2013. The proposed investment would be targeted at attracting new airlines and routes, aiming to elevate passenger numbers to over two million annually and diversify the airport’s revenue streams in areas such as aviation training, sustainable aviation fuel, cargo, and maintenance.

However, Bristol Airport has voiced significant concerns, suggesting that such substantial state aid to Cardiff could create commercial imbalances. Bristol Airport, having handled a record 9.8 million passengers in 2023 compared to Cardiff’s 841,000, fears the subsidy could skew competitive dynamics. The airport argues that the investment might disadvantage it by altering the competitive landscape, potentially impacting its passenger numbers and revenue.

The dispute highlights the growing disparity in performance and strategy between the two airports. Cardiff Airport aims to reach its pre-pandemic annual passenger number of 1.6 million by 2026, focusing on a smaller number of routes, including long-haul flights to major economic centres. In contrast, Bristol Airport has thrived by targeting high-volume tourist traffic and low-cost carriers.

The Welsh Government has submitted its investment plans for Cardiff Airport to the Competition and Markets Authority (CMA), seeking to ensure compliance with the UK’s new public sector subsidy rules. The CMA’s Subsidy Advice Unit (SAU) has issued a non-binding evaluation report that calls for a more detailed assessment of potential competitive impacts. The report suggests that the Welsh Government’s analysis could better address the implications for Bristol Airport and other regional airports, which could also compete for similar activities in the future.

Several other UK airports, including Birmingham and Regional and City Airports, have echoed Bristol’s concerns about potential distortions to competition and investment. However, Gloucestershire Airport has reported no anticipated negative impacts on its operations.

The situation is further complicated by Bristol Airport’s expressed willingness to collaborate with Cardiff Airport in non-competitive areas to cut costs and lessen taxpayer expenses, though it seeks greater transparency in how Cardiff’s proposed subsidy will be allocated.

Responding to the news that Bristol Airport said it is “deeply concerned” over plans by the Welsh Government to provide over £200m in subsidy, Natasha Asghar MS, Welsh Conservative Shadow Transport Minister, said: “Investment in airports – as with any large-scale transport infrastructure – is crucial in order to ensure they are able to grow and thrive. This of course, includes large scale subsidies such as the £206 million proposed support package for Cardiff Airport.

“Whilst I do not dispute this positive injection of investment for Cardiff Airport, I do dispute where it is coming from. It remains my belief that the private sector is the right environment for this vital Welsh transport link to thrive, and that we would see much greater investment, growth and passenger take-up if the competitive free market was utilised.

“We all know that government funding is stretched. A move to the private sector would not only encourage efficiency, competition and attract greater investment and growth for Cardiff Airport, but it would free-up more taxpayer cash to spend in other areas of the budget that so desperately need help under current circumstances.”

In response to the CMA’s findings, Cabinet Secretary for the Economy, Rebecca Evans, has stated that the Welsh Government will take the necessary time to consider the CMA’s feedback before refining its proposed investment program. She promised to update the Senedd once a decision has been reached on how to proceed.

This ongoing saga underscores the challenges facing regional airports in balancing growth ambitions with fair competition, especially in a post-Brexit regulatory environment.

As Cardiff Airport strives to expand its capabilities and service offerings, the outcome of this dispute will have significant implications for regional economic development and the broader UK aviation industry.

 

Business

Pembrokeshire Lydstep Beach Village development refused

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A CALL for an extra sign advertising a Pembrokeshire holiday park, adding to exiting unauthorised ones, which planners say would create “visual clutter and intrusion” and a distraction to drivers, has been refused.

In an application to Pembrokeshire Coast National Park, permission was sought, through Lakeside Signs Limited, for an additional sign advertising Haven’s Lydstep Beach Village, near Tenby, the sign proposed for North Lodge where the holiday park joins the main road.

Pembrokeshire County Council’s highways authority raised no concerns regarding the specific location of the sign, but said “there remains a broader concern regarding the cumulative impact of signage along this section of highway,” adding: “The increasing proliferation of signs in this location has the potential to create a visually cluttered environment, which may distract drivers and, in turn, give rise to road safety implications.”

A Park officer report recommending refusal said: “Currently, there are eight flagpoles, one A-frame banner type sign, one pole mounted panel sign, and a further panel sign, located behind the stone wall on the western side of the park’s entrance. None of these advertisements have the benefit of advertisement consent.”

It added: “The increasing number of signs in this location has the potential to create a distraction to drivers, which may result in road safety implications. In addition, the proliferation of signage would create clutter that would result in visual intrusion in this countryside location affecting amenity. As such, the recommendation is to refuse.”

It went on to say: “Whilst it is not deemed that the proposed advertisement would result in harm being caused to the specific special qualities of this area, there are concerns that the display of this advertisement would, along with the remainder of the advertisements, which are unauthorised, result in a proliferation of advertisements, which in turn would cause visual clutter and intrusion.

“This is especially problematic in a countryside location where development is strictly controlled. Should the existing signage be consolidated and rationalised, the Authority may support the proposed sign, however, currently, any additional signage would not be deemed appropriate.”

The application was refused on the grounds that it would, along with the exiting signage, “result in visual clutter and intrusion which would detract from the visual amenity of this countryside location, and would result in potential distraction to drivers, which in turn would rise to road safety implications”.

 

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The Cheesecake Guy store could be coming to Saundersfoot

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SAUNDERSFOOT’S Coal Building interpretation centre could soon host the third store for Welsh cheesecake business The Cheesecake Guy Ltd, in plans before the national park.

In an application to Pembrokeshire Coast National Park, Craig Taylor of Merthyr Tydfil-based The Cheesecake Guy Ltd seeks a change of use of part of Saundersfoot’s Cambrian Terrace Coal Building interpretation centre to create a small retail unit.

On its website, The Cheesecake Guy says of its business and products: “Established in 2019, The Cheesecake Guy is all about delivering indulgent, handcrafted cheesecake desserts with a twist. While we offer a range of sweet treats, our specialty — and customer favourite — is the signature cheesecake jar.

“Made with quality ingredients and packed with rich, creamy layers, our jars are the perfect dessert for any occasion. Whether you’re treating yourself or sharing with others, The Cheesecake Guy brings a spoonful of happiness to every bite.”

While no supporting statement has yet been published for the Saundersfoot proposal, the application says the scheme would employ two full-time members of staff, operating 10am-6pm Mon-Sat, and 10-5 on Sundays and bank holidays.

It says the proposed site is currently a mixed-use retail and gift shop, having previously been used as office space.

It adds: “This is a space within a building that is still trading, the space we are wanting a change of use was last used by Persimmon Homes as an office space.”

Of the scheme itself it says it will involve “retail sales of pre-prepared desserts and merchandise,” adding there will be “no on-site manufacturing or heavy processing,” with “equipment limited to display fridges and freezers”.

If approved, the Saundersfoot site would be the third outlet for The Cheesecake Guy, with sites in Merthyr, and, more recently, Newport Market.

After that store opened following redevelopment of Newport’s Victorian market, Craig Taylor, of The Cheesecake Guy, said: “We are very excited to be part of the new development in Newport Market alongside some other amazing small businesses.

“We feel this is definitely the next step in the right direction after our Merthyr Tydfil store taking off so well.”

For its Newport site, The Cheesecake Guy says: “We specialise in creating a wide variety of cheesecake desserts that cater to all tastes. Our menu features popular favourites that have won the hearts of many, alongside exciting new creations designed to keep your taste buds satisfied.

“Whether you’re a classic cheesecake lover or an adventurous foodie, we promise a cheesecake experience like no other. Each cheesecake is made with the utmost care, ensuring a rich, creamy texture and a burst of flavour in every slice (or jar!).”

The Saundersfoot proposal will be considered by park planners at a later date.

 

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Pembrokeshire Broad Haven holiday park works refused

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A DEVELOPMENT call for a Pembrokeshire holiday park has been turned down by Pembrokeshire Coast National Park.

In an application to park planners, Broad Haven Holiday Park, through agent Gerald Blain Associates, sought permission for the relocation of a boat storage area, vehicle shed and play area along with rewilding of adjoining fields at Broad Haven Holiday Park, Broad Haven, near Haverfordwest.

The application was supported by local community council The Havens.

However, an officer report recommended refusal.

Detailing the application, it said: “The proposal relates to the extension of an existing static caravan holiday site into adjacent undeveloped woodland to accommodate the relocation of boat storage, a vehicle shed, and a children’s play area, together with associated ecological mitigation measures. No increased pitch numbers are proposed.

“The development site has already undergone some site clearance, resulting in the removal of approximately 1,000 square metres of woodland.”

It went on to say: “The existing site is already intervisible with the coast, and the proposed relocation of boat storage would likely increase its visibility rather than reduce it. Without supporting evidence in the form of a Landscape and Visual Impact Assessment (LVIA) or Zone of Theoretical Visibility (ZTV) demonstrating that the development would be visually contained, the proposal appears contrary to the guidance contained within the SPG and the objectives of Policy 41.

“As a result, the proposed development is considered to detract from the special qualities of the National Park in this location and would be detrimental to the quality and character of the landscape character area in which the site sits, and as such does not comply [with policies].”

The application was refused on grounds including it being sited within previously undeveloped land within a flood zone, a lack of information on potential impacts on biodiversity, and it is “considered to detract from the special qualities of the national park in this location and would be detrimental to the quality and character of the landscape character area in which the site sits”.

 

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