Business
Bus service shake-up passes first Senedd stop
PLANS to end the current “de-regulated” bus system passed the first stop on the legislative journey as the Senedd voted in favour of the general principles.
Senedd voted 37-12, with one abstaining, in support of the bus bill which seeks to replace the current system in which private operators decide most routes on a commercial basis.
A franchising model similar to Greater Manchester’s would be introduced under the bill, with the Welsh Government gaining control of routes, timetables, fares and standards.
Ken Skates, Wales’ transport secretary, told the Senedd: “Moving from the current deregulated model will support a truly integrated transport system that is fit for purpose.”
He said the franchising model would put people first, driving up passenger numbers and generating more revenue from fares which can then be used to improve services.
If the bill completes its journey through the Welsh Parliament, Transport for Wales would roll out the new system in phases over four to five years, beginning in south-west Wales.
Llŷr Gruffydd, who chairs the Senedd’s infrastructure committee, said the case for the changes is compelling, with fragile rural services and declining patronage in some areas.
While he backed the “important and necessary step forward”, Mr Gruffydd shared the concerns of witnesses who told the committee the bill lacks detail in some key areas.

“It has been disappointing that significant aspects of the proposals will only become clear once the bill has become law,” said the Plaid Cymru politician, who called for key commitments to be set out in the bill, “not left to the goodwill of a future government”.
Mr Gruffydd expressed concerns about a “significant” gap in the bill around congestion and infrastructure, with witnesses warning services will not otherwise improve under any model.
The Conservatives’ Sam Rowlands shared a desire to improve public transport but he warned the bus bill “falls short” and the franchising model is the wrong vehicle.

He told Senedd Members far too many businesses folded following the introduction of franchising in Manchester after being excluded from procurement due to red tape.
Mr Rowlands said: “What the Bill completely fails to address is the single biggest challenge facing bus services today, and that’s congestion. Reliability is crucial. You can’t have a modern, integrated public transport system if buses are stuck in traffic and consistently late.”
During the debate on September 16, Plaid Cymru’s Delyth Jewell broadly backed the bill but she suggested learner transport, which was omitted, has been treated as an afterthought.
She said: “Learner travel must be guaranteed, and therefore it must be included in this Bill. We can’t gamble with whether or not a child gets to school safely.”

The party’s deputy leader in the Senedd also called for a greater focus on accessibility, backing RNIB Cymru’s calls for minimum standards to be enshrined in operator contracts.
Labour’s Lee Waters said: “This bill is a big deal and, in time, it will make a big difference….
“Since Tory privatisation of the bus industry in the mid-1980s, the number of routes has shrunk, the pay of the staff has been suppressed and fares have risen. In fact, since privatisation, bus fares have risen faster than the cost of motoring.”

Criticising the current “dysfunctional” system, the former transport minister said operators make 100% private profit but more than half of their costs are met by the public purse.
He told the Senedd: “This private system costs taxpayers a lot of money… around £200m a year, throw in on top of that the cost of school transport – which takes up about 20% of the cost of school budgets – and none of this activity, none of this money is coordinated.”
Mr Waters pointed to the bill’s impact assessment which estimated the benefits of the bill at more than £3bn, five times greater than the costs of £600m, over a 30-year horizon.
Business
Pembroke Power Station National Grid shutdown power plans
A CALL to site specialist diesel generators at Pembroke Power Station to help keep the lights on in the event of a National Grid shutdown has been lodged with county planners.
In a screening application to Pembrokeshire County Council, RWE Generation UK PLC, through Ove Arup & Partners Ltd, wants to site up to six containerised diesel generators, diesel storage tank(s) and electrical connections at Pembroke Power Station, Pwllcrochan, near Pembroke.
The application site is within the site of the existing Pembroke Power Station, a combined-cycle gas turbine (CCGT) station which began commercial operation in September 2012, with a gross consented capacity of about 2,199 megawatts electric (MWe), replacing the previous oil-fired power station which operated for almost 30 years and was decommissioned in 1999.
A supporting statement says, subject to confirmation, it is considered to comprise permitted development, the scheme “a standalone plant, with its own fuel supply, capable of starting up, operating and shutting down independently from the power station”.
It adds: “It is required only in an emergency to maintain plant status and keep the power station operationally ‘ready’ in the event of a total or partial shutdown of the National Grid system. It is not required for the normal operation of the power station and does not extend its capacity, which remains as already consented, therefore it is not considered a change or extension.”

On need, it says it is mandatory that all electricity generators of over a megawatt have to adopt a new minimum standard of asset resilience; power stations “must be capable of restoring demand on the National Grid electricity transmission system in the event of a total or partial shutdown of the National Grid system”.
“The Power Station does not currently meet this new asset resilience standard, therefore new back-up power, control philosophy and on-site services that support site critical systems enabling the power station to remain ready to operate must be implemented.
“RWE is required to install a new enhanced emergency site auxiliary solution (diesel generators and diesel storage tanks) at the power station for resilience against the failure of the interconnected electricity distribution network into which it is normally connected in order to satisfy the Grid Code requirements by the mandated implementation deadline of December 31, 2026.
“RWE will make operational and fuelling provision, within its new resilience design at Pembroke power station of up to 120 hours, in order to provide capability to a slightly enhanced standard known to be valued by the National Energy System Operator (‘NESO’) in certain emergency network scenarios.”
It says construction is hoped to start in July 2026, lasting approximately nine to 12 months, the main part across the summer months.
The call will be considered by county planners at a later date.
Business
Pembrokeshire St Brides Castle biomass and solar scheme
PLANS for a green energy scheme at a Pembrokeshire former country house which is now holiday apartments have been given the go-ahead.
In an application to Pembrokeshire Coast National Park, HPB Ltd, through agent Acanthus Holden Architects, sought permission for a biomass boiler plant and installation of 16 rows of solar panels to the south of the tennis courts, St Brides Castle, St Brides, along with the removal of two tennis courts, two polytunnels, two sheds and relocation of a container.
Marloes and St Brides Community Council: Supporting
An officer report recommending approval said: “St Brides Castle. Listed Grade II* is a former country house (now holiday apartments) just south-west of the small settlement of St Brides.
“The house and its listed ancillary buildings stand prominently within a large grade-II-registered park and garden. The development site lies immediately south of the registered asset, outside of its boundary.”
It added: “Although in a sensitive location, the proposed scheme is well-screened, utilising an existing hedged enclosure. The proposed panels do not protrude over the hedge line, the proposed extra planting to the south and west providing further screening. The proposed building, also well-screened, is of traditional design, proportions and materials.”
The application was conditionally approved by park planners.
Business
Welsh business confidence rises as firms buck UK trend
Wales records strongest year-on-year growth of any UK nation or region, according to Lloyds Business Barometer
WELSH business confidence rose in April as firms reported growing optimism about the wider UK economy, new figures show.
The latest Business Barometer from Lloyds found that confidence among businesses in Wales rose by eight points to 38% during the month.
That was despite overall UK business confidence falling by 11 points to 44% in April.
The survey found Welsh firms’ confidence in their own trading prospects remained unchanged at 46%, while optimism about the wider economy climbed 16 points to 30%.
When combined, those figures gave Wales a headline confidence reading of 38%, up from 30% in March.
Wales also recorded the largest year-on-year confidence growth of any UK nation or region and was the only area to report both year-on-year and month-on-month growth.
A net balance of 34% of businesses in Wales said they expected to increase staff numbers over the next year, up nine points on the previous month.
Looking ahead, Welsh firms identified investment in their teams as the main target area for growth, with 48% citing training and staff development.
Other priorities included introducing new technology, such as AI or automation, at 42%, and evolving products or services at 40%.
The Business Barometer, which surveys 1,200 businesses each month, has been running since 2002 and is used as an early indicator of UK economic trends.
Amanda Murphy, CEO for Lloyds Business and Commercial Banking, said: “Businesses told us their confidence fell as inflation pressures re-emerged, global uncertainty persisted and costs remained elevated.
“While sentiment declined, it remained above the long-term average, with nearly two-thirds expecting stronger output in the coming year.
“UK businesses are resilient and adept at deploying strategies to defend growth in uncertain conditions. Over the past month, we’ve seen them opt for flexibility wherever possible.
“They’re building contingency into their short and medium-term plans, rather than expecting a rapid return to normal. Protecting margins has become more important.
“That means tougher cost scrutiny and a greater focus on balancing growth with profitability.
“In this environment, as with other recent market disruptions, we continue to observe that sustainable success comes from discipline, resilience and clarity about what really drives long-term value.”
Nathan Morgan, area director for Wales at Lloyds, said: “Wales is bucking the UK-wide trend when it comes to business confidence, increasing during April against the national trend.
“This confidence is the result of Welsh firms’ ongoing focus on investment to protect their position against future disruption.
“At Lloyds, we’ll continue to nurture this recent momentum of growth by working with businesses across the nation to equip them with the financial tools they need.”
Across the UK, firms’ confidence in their own trading outlook fell six points to 54%, while optimism in the wider economy dropped 17 points to 33%.
The East Midlands was the most confident UK nation or region in April at 53%, followed by London at 51% and the West Midlands at 49%.
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