Business
Welsh Government’s tourism tax plans get green light
THE SENEDD passed plans for a £1.30-a-night tourism tax in parts of Wales from 2027.
Senedd Members voted 37-13 for the tourism tax bill, which will see people charged £1.30 each, plus VAT, for stays in hotels, B&Bs and self-catering accommodation.
People staying in hostels and campsites would pay 75p per person per night, with under-18s exempt from the lower rate of the tax which would be introduced in 2027 at the earliest.
The tax would raise around £33m a year if implemented across the country but the 22 councils in Wales will be given powers to decide whether to introduce a levy locally.
Only two councils, Cardiff and Anglesey, – have so far indicated plans to bring in a levy but other authorities had yet to make a decision or had “no plans” to introduce a tax.
A register of visitor accommodation providers operating in Wales will also be established by the bill, laying the groundwork for licensing plans set to be brought forward separately.
Proponents argue the levy will ensure visitors contribute to the cost of services with revenue reinvested, while detractors warn the tax will put tourists off and damage Wales’ economy.
Tourism taxes are commonplace on the continent and, closer to home, Scottish councils will gain similar powers next year, while Manchester introduced a visitor charge in 2023.
Leading a debate before the key vote on July 8, Mark Drakeford told the Senedd: “By passing this bill, we will give councils the choice to introduce a modest additional charge which would be reinvested to support a thriving, sustainable tourism industry.”
The finance secretary said the visitor levy will be the first local tax for more than 500 years to have been designed and made in Wales, marking an important step for devolution.
Prof Drakeford said the Welsh Government wants to ensure the pressures and opportunities of tourism are fairly balanced, with visitors contributing to infrastructure and services.

The former First Minister pointed to evidence “from Iceland to New Zealand” of the revenue generated contributing significantly to challenges without deterring tourism.
He argued the bill would strengthen communities and build democratic accountability, putting tourism in Wales on a new and sustainable footing.
But Sam Rowlands, the Conservatives’ shadow finance secretary, described the bill as “bad for Wales and bad for the Welsh tourism sector”.

Warning the economy is in dire straits, Mr Rowlands said the tourism tax will impact jobs and harm the economy as he pointed out that the industry itself was broadly opposed.
‘Out of touch’
The tourism tax bill was introduced as part of the Welsh Government’s now-collapsed co-operation agreement with Plaid Cymru between 2021 and 2024.
Luke Fletcher, Plaid Cymru’s shadow economy secretary, reiterated his party’s support, saying: “There is a genuine opportunity here for us to create a sustainable tourism sector that works with both our communities and businesses.”

Mr Fletcher added: “The very same arguments were happening when they were looking to introduce a tourism levy in Barcelona and in other places, so I do really believe we will look back at this as a positive step forward for our communities.”
Labour’s Jenny Rathbone criticised the Conservatives for “being completely out of touch”, with thousands visiting Cardiff for the Oasis concert and communities picking up the costs. She asked: “Why should poor people rather than visitors have to pay?”
Closing the debate, Prof Drakeford agreed, accusing the Tories of “catastrophising” a “modest measure” which he compared to less than the cost of a cup of coffee.
Business
Could Primark be coming to Haverfordwest? Major retailer in talks for former Wilko site
Council confirms advanced discussions as speculation grows over high street boost
HAVERFORDWEST could soon see a major high street revival, with a national retailer in advanced talks to take over the former Wilko building in the town centre.

Pembrokeshire County Council has confirmed that negotiations are ongoing, with a deal potentially just weeks — or even days — away.
Speaking to The Herald, Deputy Leader Cllr Paul Miller said the authority is in “detailed discussions with a major national retailer” over the prominent vacant unit.
However, he declined to name the business involved, citing commercial confidentiality.
Speculation grows
Despite the secrecy, speculation has been mounting locally that clothing giant Primark could be the retailer preparing to move into the site.
The size of the former Wilko store — one of the largest retail units in the town — has led many to believe only a handful of national chains would be able to occupy the space.
When asked directly whether Primark was involved, Cllr Miller did not confirm the claim, but also did not deny it.

Work already underway
The council has taken steps to prepare the building for a new tenant following Wilko’s collapse into administration.
This includes carrying out essential structural repairs, particularly to the roof, funded through a combination of council investment and an interest-free Welsh Government town centre loan.
Cllr Miller said the aim is to deliver a “blank canvas” for a new retailer, who would then invest further in fitting out the store.
He added that any incoming tenant would likely spend “millions” preparing the unit before opening.
Boost for town centre
The arrival of a major national retailer would represent a significant boost for Haverfordwest, which has faced challenges in recent years with declining footfall and the loss of several well-known stores.
The Wilko closure left a large gap in the town centre, both physically and economically, and securing a new anchor tenant is seen as key to revitalising the high street.
If confirmed, the move could increase visitor numbers, support surrounding businesses, and help restore confidence in the town’s retail future.

Deal ‘close’
Cllr Miller indicated that negotiations are at an advanced stage.
He said: “I’d like to think we’re talking weeks, not months — maybe even days, but these things can change.”
While no formal agreement has yet been announced, the timeline suggests a decision could be imminent.
What happens next
Until a deal is formally signed, the identity of the retailer remains unconfirmed.
However, with negotiations progressing and work underway on the building, expectations are growing that a major announcement could soon follow.
For now, all eyes remain on Haverfordwest — and on whether one of the UK’s biggest retail names is about to arrive.
We have contacted Primark for a comment.

Business
Rail investment ‘could unlock 40,000 jobs and £11bn for Wales’ says new report
RAILWAY stations across Wales could help unlock around 40,000 jobs and more than £11 billion for the economy by 2036, according to new research.
A report by Development Economics, published on Monday (Mar 23), highlights how rail infrastructure is acting as a major driver of growth, supporting housing, business development, and employment across the country.
The findings suggest that development within 800 metres of railway stations alone could generate more than 40,000 jobs and contribute £11.3 billion to the Welsh economy over the next decade.

Stations driving growth
The report identifies what it calls the “rail catalyst effect”, where stations attract investment and act as hubs for regeneration.
Recent examples across Wales and the South West show the impact of rail-linked development. Over the past five years, areas around nine stations, including Carmarthen, have delivered 3,500 new homes, 67,000 square metres of commercial space, and supported 4,500 jobs.
Proposed new stations, including Cardiff Parkway and Newport West, are expected to create around 900 permanent jobs and generate £64 million annually over the next ten years.
Economic case for investment
The report comes as Wales continues to face economic challenges, with inactivity rates standing at 25.6%, higher than the UK average of 21.6%.
Researchers say continued investment in rail infrastructure will be key to boosting regional economies and improving access to jobs and opportunities.
Mark Hopwood, Managing Director of Great Western Railway, said: “The findings of this report are clear. The railway, its stations, and the trains that serve them are powerful drivers of economic growth, community prosperity and regeneration.
“Across our network, development around the railway is delivering thousands of homes, new commercial space and thousands of jobs, generating hundreds of millions of pounds in economic value for the communities we serve.”
National impact
Across the wider Great Western Railway network, stations are projected to support 238,000 jobs and generate £14.25 billion in annual economic value by 2036.
Nationally, the report suggests railway stations could support more than one million permanent jobs and contribute £78.7 billion to local and regional economies.
Wider benefits
The report also highlights the social impact of rail, particularly for households without access to a car, estimated at around one in five in Wales.
With more than 1.6 billion passenger journeys made each year across the UK rail network, the study says improved connectivity is helping people access work, education, and services more easily.
Business
205-unit storage site at Pembrokeshire farm submitted to planners
A CALL to allow a Pembrokeshire farm to keep a storage facility for more than 200 caravans, boats, cars and farm machines as a form of diversification has been submitted to county planners.
In an application to Pembrokeshire County Council, Mr & Mrs Davies, through agent A.D Architectural Design Consultants Ltd, seek retrospective permission for a farm diversification scheme to accommodate the storage of caravans, boats, cars and farm machinery in four of eight agricultural sheds and on hard-standing concrete courtyards at Froghall Farm, Spittal.
The works were completed back in 2019.
A supporting statement accompanying the application said: “At present, four of the eight shed structures on the site form part of the caravan and boat storage scheme, with additional touring caravans stored externally on the concrete courtyards.”
It said the storage provision was split as follows: Shed 1 – farm workshop, and 30 caravans, motorhomes, boats & cars; shed 2 – 16 caravans; shed 3 – 28 caravans, motorhomes, boats & cars – 28; shed 8 – cubicle shed, 11 units of farm machines, motorhomes & caravans; courtyard storage of 120 touring caravans, for an overall storage of 205 units.
The statement added: “It would take place in an accessible location, would incorporate sustainable transport and accessibility principles and would not result in a detrimental impact on highway safety or in traffic exceeding the capacity of the highway network; access road is a no-through road with no increase in traffic due to the nature of development.
“There won’t be a constant stream/flow of traffic as the site’s used for storage. Our client offers a towing service to sites in and around Pembrokeshire, which is used by 45 per cent of their customers, who are unable or prefer not to tow themselves. This gives our client control over the flow of traffic.”
The application will be considered by county planners at a later date.
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