Business
Insolvency figures rise as businesses face growing pressures
CORPORATE INSOLVENCIES increased in England and Wales by 6.4% in January 2025, reaching 1,971 cases compared to December 2024’s total of 1,852. The figure also marks a 10.7% rise from January 2024’s 1,780 cases and a 13.1% increase from January 2023.
Personal insolvencies, meanwhile, dropped by 3.4% in January 2025 to 9,706, down from 10,045 in December. However, this remains 11.6% higher than January 2024’s figure of 8,698 and 12.5% higher than January 2023’s 8,630.
Rising costs drive business closures
Bethan Evans, Wales Chair of R3, the UK’s insolvency and restructuring trade body, said the rise in corporate insolvencies is largely due to an increase in Creditors’ Voluntary Liquidations and Administrations.
She said: “This suggests that many directors are opting to close their businesses after years of tough trading conditions, particularly ahead of the upcoming rise in the National Minimum Wage and Employers’ National Insurance Contributions in April. As a result, corporate insolvencies have hit their highest January level in over five years.
“There is some positive news in the form of increased Administration numbers, which suggests that more companies may be rescued through sales out of Administration.”
Evans added that creditor pressures and ongoing costs remain key factors driving insolvencies, as rising expenses and reduced consumer spending continue to take a toll.
“Creditors have largely abandoned the more lenient approach they took post-pandemic, with HMRC now returning to pre-COVID levels of debt collection,” she said.
Sectors including retail, construction, and hospitality have struggled. While retailers saw an increase in sales during the festive season, Evans noted that much of this was driven by discounts rather than sustained consumer demand. The construction sector has been hit by rising costs and client caution, while hospitality businesses failed to see the Christmas revenue boost they had hoped for.
Looking ahead, she said: “The projected cut in economic growth has affected business confidence, with many firms hesitant to invest in expansion or hiring ahead of April’s wage and tax changes. However, the Bank of England’s decision to cut the base interest rate could help improve access to rescue finance.”
Household debt remains a concern
On personal insolvencies, Evans pointed to a rise in Debt Relief Orders (DROs), attributing this to changes in debt thresholds and the removal of administration fees last year.
“Breathing Space numbers are at their highest in a year, reinforcing the fact that household debt remains a serious issue in England and Wales,” she said.
“With winter costs for heating and food still high, financial worries are mounting. Many people are keeping a close watch on their outgoings and remain uncertain about their financial future.”
She urged those struggling with debt to seek help early.
“Discussing financial problems—whether personal or business-related—can be difficult, but seeking advice early often provides more options. Most R3 members in Wales offer free initial consultations to help people understand their financial situation and explore potential solutions.”
Business
New showroom for car dealership approved by county planners
PLANS for a new showroom for a Pembrokeshire car dealership which has recently acquired a new Isuzu vehicle franchise, have been given the go-ahead.
In an application to Pembrokeshire County Council, Gareth Hughes Motors of 25 Burton Road, Sardis, through agent Hayston Developments & Planning Ltd, sought permission to replace a temporary canopy with fixed permanent mini-showroom.

A supporting statement said: “Gareth Hughes Motors is a family run enterprise, established in 1982. In order for the business to respond to the latest technological advancements, especially those related to the transition to hybrid and electric vehicles, additional space and different resources will be required.
“Approval of this application will assist in the delivery of these required resources, associated staff training and recruitment for the servicing of electric vehicles will also lead to the retention and provision of skilled employment.”
It says the extension will be designed to allow sufficient space to display Isuzu vehicles, an additional motor franchise recently acquired by the dealership, with no changes proposed to the existing access from the C3007 as the mini-showroom would take place to the rear of the site and replace an existing canopy structure.

It added: “The environmental impacts from the proposal are minimal as the replacement structure takes place on a concreted/bitumac surface which is currently used for the parking of cars. In addition, the design and use of materials complements that of the current showroom and repair shop and by the addition of a bird and bat box on the south-east of the proposed extension.
“The proposed new mini-showroom will accommodate a maximum of two vehicles and would take place to the rear/side of the site and would be constructed in materials which complement those of the existing showroom and service bays.
“Although Gareth Hughes Motors is located within a group of residential properties it is considered that there will be no significant negative impacts on those neighbouring properties because of their distance from the application site, the orientation of the buildings.
“The securing of an additional franchise at this Sardis site will both help secure the future of the existing staff and create opportunities for additional employment in the motor trade.”
The application was conditionally approved by county planners.
Business
The Cheesecake Guy Ltd plans withdrawn following community council objections
PLANS for what could have been the third store in the country for Welsh cheesecake business The Cheesecake Guy Ltd at Saundersfoot’s Coal Building interpretation centre have been withdrawn.
In an application to Pembrokeshire Coast National Park, Craig Taylor of Merthyr Tydfil-based The Cheesecake Guy Ltd sought 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 was published for the Saundersfoot proposal, the application said the scheme, if approved, would employ two full-time members of staff, operating 10am-6pm Mon-Sat, and 10-5 on Sundays and bank holidays.
Of the scheme itself it said it would 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 have been the third outlet for The Cheesecake Guy, with sites in Merthyr, and, more recently, Newport Market.
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!).”
Since the application was submitted, Saundersfoot Community Council objected “on the basis that the harbour is diluting the original intention of this area, which was designed to be an educational section of the development”.
The application is now, as of June 19, marked as withdrawn.
Business
Amended Fishguard children’s home scheme approved
AN AMENDED scheme for a children’s care home on the edge of Fishguard has been approved after a previous call was refused.
In an application to Pembrokeshire County Council, Martin Leahy of Ty Caredig Ltd sought a certificate of lawfulness permission for the use of a dwellinghouse to a residential care home for up to two children at Bryn Delyn, Y Fraich, Fishguard.
Last November, a similar call to allow Bryn Delyn to be used as a children’s home, which raised fears from local objectors the scheme was being ‘rubber stamped’ by the council, was refused.
In that application to the council, Cardiff-based Ty Caredig Ltd sought permission for a Certificate of Lawfulness on the basis the use was not materially different from the property’s existing lawful use.
Residents had accused the council of “pushing through a highly controversial children’s home application behind closed doors”.
A supporting statement for that scheme, with many redacted parts, said the four-bed property had a lawful use as a dwelling house; saying the use as a care home did not require planning permission through a change of use.
However, planners said the use of the dwelling as a care home “would represent a material change of use requiring the benefit of planning permission”.
Since then, amendment to the scheme, for a lawful change of use was submitted, a supporting statement saying Ty Caredig Ltd operates homes throughout Wales that provide specialist care for children, the latest scheme “seeks formal confirmation that the proposed use of Bryn Delyn as a children’s care home for up to two children (plus care staff) would not require planning permission”.
Fishguard Town Council objected, on the grounds of highway safety and parking issues.
It also raised points of “apparent discrepancies between the planning application and the information available on the website,” but stressed it did support provision of suitable accommodation for vulnerable young people and children “with the correct infrastructure in place”.
Local county councillor Cllr Par Davies has said the scheme has her “full support,” as did the certificate call, adding: “Rumours abound regarding this application with objections concerning the usage of the property as a care home for young people. The application states that only two young people would be cared for in the property.
“This type of property is needed as we often talk as councillors for the need for Pembrokeshire children in care to remain in Pembrokeshire instead of the alternative of moving them to other areas in the country and this application fulfils that need.”
The application was approved by planners, the approval stating “Based on the information submitted and on the balance of probability it is considered that the use of the property as a residential care home for up to two children would not result in a material change of use from the lawful use of the property as a dwellinghouse and as a result a certificate of lawfulness for a proposed use should be granted.”
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