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Tories propose tax cuts as Labour derides ‘unfunded’ £669m cost

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THE CONSERVATIVES have called for tax cuts to boost the Welsh economy but Labour ministers warned the “unfunded” plan would blow a £669m hole in the budget.

Samuel Kurtz, the Tory shadow economy secretary, called for a 1p cut to the basic rate of income tax and the scrapping of business rates for small businesses.

He said: “Families here are taking home smaller pay packets than their counterparts in England or Scotland. Businesses are struggling under the heaviest business rates in Britain.

“Young people see fewer opportunities to build a career and too often feel forced to leave the communities where they grew up.”

Mr Kurtz warned the Welsh and UK economies are “stuck in the mud”, with chancellor Rachel Reeves “poised to raid pension pots” in the budget on November 26.

The ex-journalist said cutting the basic rate of income tax by 1p to 19% in Wales would give 1.7 million people a tax break and leave the average working family £450 a year better off.

Mr Kurtz said scrapping rates for small firms, which he described as the “backbone of our economy”, would help 245,000 businesses employing more than 500,000 people.

But Plaid Cymru’s Luke Fletcher accused the Conservatives of simply wanting to “tinker” with the tax system, warning an “ownership gap” is the central problem.

Plaid Cymru MS Luke Fletcher
Plaid Cymru MS Luke Fletcher

He told the Senedd: “The reality is that there are too few Welsh businesses, assets and institutions that are meaningfully Welsh owned.

“That limits investment, it slows business growth and it reduces the quality and availability of jobs. It also means that innovation struggles to take hold and far too much profit leaves our communities. We need to change that.”

His colleague Cefin Campbell was “aghast at the hypocrisy”, saying the Tories’ reputation as the “guardians of the economy” was trashed by Liz Truss tanking the economy.

Mike Hedges, a Labour backbencher, described the Tory strategy as seeking to cut the Welsh Government’s income while increasing spending.

Labour MS Mike Hedges
Labour MS Mike Hedges

But he accepted the Welsh economy has problems – many of them structural – having performed poorly versus the rest of Britain for many years.

Mr Hedges pointed to a shortage of employment in higher-paid sectors, with Wales weak in areas such as ICT, real estate and professional services.

He told Senedd Members: “We need to have a successful economy. We need to know how we’re going to do it and quite frankly, what the Conservatives said will not work”.

Rebecca Evans said cutting the basic rate of income tax by 1p would cost £299m – nearly 8% of all Welsh income tax revenue. She added that scrapping business rates for small firms would cost up to £370m, bringing the total to £669m.

Wales’ economy secretary told the Senedd: “All of this without even beginning to tell us how they would pay for it, and the level of cuts that they would have to implement would be huge.

Economy, energy, and planning secretary Rebecca Evans
Economy, energy, and planning secretary Rebecca Evans

“They would have to cut the entire transport revenue budget.”

She claimed Wales is outperforming the UK average on employment.

Ms Evans pointed to December’s planned Wales investment summit in Newport but rejected Conservative calls to release a list of companies that have registered an interest.

She said: “We have had huge, huge interest from across the globe, and particularly in the sectors that we’re particularly keen to grow: compound semiconductors, tech and digital, clean energy, life sciences, advanced manufacturing and defence.”

 

Business

Wolfscastle spa earns prestigious AA recognition

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WOLFSCASTLE COUNTRY HOTEL and Spa in Pembrokeshire is celebrating national recognition after its luxury spa was included in the prestigious AA Recommended Spa Awards.

The accolade highlights the hotel’s commitment to delivering high-quality wellbeing experiences, exceptional service, and first-class facilities.

The AA Recommended Spa status is awarded to venues that provide an outstanding guest experience, combining professional expertise, premium treatments, and a relaxing environment. The recognition places Wolfscastle among a select group of leading spa destinations across the UK.

Grace, Levi and Bethan, full-time spa therapists at the award-winning Wolfscastle Spa.
Hot stone massage in the Wolfscastle Country Hotel & Spa treatment room.

The spa, which has been open for nine years, has established itself as one of Pembrokeshire’s top wellness destinations, welcoming both hotel guests and day visitors seeking relaxation in a tranquil countryside setting.

Facilities include hydrotherapy experiences, thermal suites, and dedicated relaxation areas, alongside a wide range of luxury treatments designed to help guests unwind and recharge.

Bethan, Spa Manager at Wolfscastle Country Hotel & Spa, said: “We’re absolutely delighted to be recognised by the AA as a Recommended Spa. The team here work really hard to make sure every guest feels relaxed, welcomed and properly looked after from the moment they arrive.

“To receive this recognition is very special for us and reflects the care and effort our therapists put into every treatment.”

The award further strengthens the hotel’s reputation as one of West Wales’ leading hospitality destinations, offering award-winning dining, boutique accommodation, and premium wellness experiences.

Guests can enjoy spa days, overnight breaks, and tailored treatments throughout the year.

For more information or to book, visit www.wolfscastle.com.

The hotel is also marking a significant milestone this year, with owner Andrew Stirling celebrating 50 years at the helm.

 

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Business

Pembroke South Quay boat shed expansion plans submitted

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A PADDLEBOARDING and canoeing company’s call for an extension to a boat shed at Pembroke’s South Quay, below its historic castle, has been submitted to county planners.

In an application to Pembrokeshire County Council, G Booth of Paddle West CIC, through agent James Dwyer Associates, seeks permission for an extension to the stone-built boathouse, adjacent to the cliff on South Quay fronting the Mill Pond, Pembroke.

A supporting statement says: “It is intended to erect a single storey ‘lean-to’ building, or ‘shed’ for the storage of boats, such as canoes and kayaks, and related equipment, on a vacant space adjacent to the existing stone-built boathouse.”

It adds: “The boathouse and the intended adjacent boat storage shed is located, as is to be expected, in close proximity to water, the Mill Pond. The Mill Pond is the main area of activity for Paddle West, a Community Interest Company, providing boating activities, kayaking, canoeing and paddle boarding, frequently for young people and families.”

It goes on to say: “It is intended that the structure would be lightweight, erected on the exiting hard standing. The ‘shed’ would be used for the storage of boats and related equipment.”

With regard to the historic setting, it adds: “Although the stone-built boathouse appears not to be listed, it is recognised that the walls above are listed and together they are a piece.

“Accordingly, through form and external materials proposed, timber cladding and profile sheet roofing, the aim is to ensure that the structure would be subservient and muted and not detract or compete with the visual aesthetic of the boathouse or historic walls. In effect the addition would blend into the background.”

The application will be considered by county planners at a later date.

The boathouse is sited near to the new Henry Tudor Centre in South Quay, which is due to open in Spring 2027.

The centre, expected to receive around 30,000 visitors a year, will tell the story of Henry Tudor, son of Pembroke, his Welsh ancestry and his impact on our national story, Welsh culture and our wider British heritage.

The restored derelict South Quay buildings will also house a new library and community café, and a healthcare, social services and supported employment facility in the adjoining premises.

 

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Business

Pembrokeshire hospitality rates relief scheme backed

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A WELSH Government-funded scheme to provide rates relief for hospitality businesses has been backed by senior Pembrokeshire councillors.

A report for members of Pembrokeshire County Council’s Cabinet at their March meeting said: “Welsh Government has introduced the Food and Drink Hospitality Rates Relief, this relief is aimed at eligible businesses in Wales in the food and drink hospitality sector for example, pubs, restaurants, cafes, bars and live music venues.

“The aim of the relief is to support eligible businesses to manage continued cost pressures. The relief will apply to all eligible occupied properties by offering a discount of 15 per cent on non-domestic rate bills for the period April 1 to March 31, 2027. The relief is capped at £110,000 per business across Wales.

“As this is a temporary measure, Welsh Government is providing the relief by reimbursing local authorities that use their discretionary relief powers under Section 47 of the Local Government Finance Act 1988.”

It concluded: “The food and drink hospitality rates relief 2026-27 requires the local authority to adopt a discretionary scheme [as outlined] and in accordance with the criteria and conditions specified in the guidance issued by Welsh Government.

“It is proposed that Cabinet resolve to adopt [the scheme] which can be applied to administer the relief. Welsh Government will reimburse local authorities for the relief provided in line with their guidance via a grant under section 31 of the Local Government Act 2003.”

Members backed the recommendation.

All eligible businesses must apply for this relief by the March 31, 2027, and an application form will be available on the council’s website from the April 1.

The maximum cash value of the rates relief allowed, across all properties in Wales occupied by the same business should not exceed £110,000. Businesses claiming the relief must declare that the amount being claimed does not exceed those limits.

 

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