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Traditional town centre business model is ‘dead’, ex-minister warns

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A FORMER minister warned the traditional business model for Welsh town centres is “dead”, dismissing “magic bullets” such as free parking and abolishing business rates.

Labour’s Lee Waters argued the economic reality of online and out-of-town shopping means a new purpose must be found for struggling high streets.

Mr Waters described town centre regeneration as a “gnarly, knotty problem”, with economics at its heart, during a debate in the Senedd on October 15.

Warning of an “unfair, unlevel playing field”, he told the Senedd: “The business model of the town centre that we all grew up with is dead.”

The former transport minister said the business model has been “enormously disrupted” by supermarkets, out-of-town shopping, online retail and the pandemic.

Labour MS Lee Waters
Labour MS Lee Waters

Mr Waters warned of little evidence to support free parking which would take revenue from councils and fail to address the 25% of people who do not have access to a car.

“The world as we knew it has gone,” he said. “And simply abolishing business rates or providing free car parking is not going to bring it back. It’s a far more complex tapestry we require… and I’m afraid our rather glib debate on these things is getting us nowhere.

“But the fix is much more complex and involves far more partners in a granular way.”

The Labour politician, who is standing down in May, said it is much cheaper for a business to build out of town than to redevelop a town centre property.

He also explained how housing trends have changed the social and economic fabric of town centres, leaving them to cater to a different demographic.

Calling for a long-term plan, including the public and private sectors, Mr Waters raised an example of “disjointed” government leading to a college in Bangor moving out of town.

The debate was tabled by Plaid Cymru’s Luke Fletcher, who painted a similarly bleak picture of high streets with “vacant retail units, shuttered shopfronts and boarded-up windows”.

Plaid Cymru MS Luke Fletcher
Plaid Cymru MS Luke Fletcher

He warned government schemes were merely “plugging holes, not rebuilding foundations”, with Wales having the second highest rate of vacant shops in the UK.

The shadow economy secretary argued the real issue was “ownership”, calling for a community right to buy to tackle the problem of absentee landlords.

Plaid Cymru’s motion called for a comprehensive strategy for town-centre regeneration, preferential business rates, long-term funding and a law on “right to buy” powers.

South Wales East MS Delyth Jewell, the party’s deputy Senedd leader, said: “These buildings… tell the stories of our past…. It is a covenant with our past that is being corroded with these closures.”

South Wales East's Plaid Cymru MS Delyth Jewell
South Wales East’s Plaid Cymru MS Delyth Jewell

The Conservatives’ Joel James warned Labour policies have driven businesses on high streets to extinction, with high business rates amounting to “economic punishment”.

He argued throwing money at regeneration projects is useless without first fixing the underlying business environment to ensure competition can thrive.

Mr James criticised the “anti-business, anti-growth” motion and its focus on local ownership, warning Plaid Cymru’s “financial fantasies” offer no hope for high-street businesses.

He told the Senedd the Conservatives would scrap rates for all small businesses and improve access to free car parking in town centres.

Conservative MS Joel James
Conservative MS Joel James

Labour backbencher Mike Hedges agreed with Plaid Cymru’s calls for a right to buy, saying: “The community right to buy is proven, popular and politically effective. We need to have it in Wales and… we need to have it now.”

Jayne Bryant, Wales’ local government secretary, pointed to £100m delivered through the transforming towns programme since 2022, with another £57m on the way.

Ms Bryant, whose responsibilities include regeneration, told the Senedd an empty property enforcement fund has been set up to help bring vacant buildings back into use.

She said the Welsh Government is providing £335m in rates relief this year, which includes £78m for retail, leisure and hospitality businesses.

Housing and local government secretary Jayne Bryant
Housing and local government secretary Jayne Bryant

Ms Bryant explained a “town centre first” principle has been embedded for planning decisions on where to locate public services such as colleges and health hubs.

The minister added that a commission – set up to explore local ownership models – is set to present its recommendations next month which will inform the introduction of a right to buy. Her goal, she said, is to bring “pride, purpose and prosperity back to the heart of our towns”.

At the end of the debate, Plaid Cymru’s original motion was voted down before ministers’ amended version – which supported the existing strategy – was narrowly passed, 24-23.

 

Business

Pembroke Power Station National Grid power plans backed

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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 given the thumbs-up by county planners.

In a screening application to Pembrokeshire County Council, RWE Generation UK PLC, through Ove Arup & Partners Ltd, sought 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 not currently meeting this new asset resilience standard.

It says construction is hoped to start in July 2026, lasting approximately nine to 12 months, the main part across the summer months.

The application was considered by officers to fall under permitted development, saying it “does not require Environmental Impact Assessment because the development, including cumulatively with other development in the locality, is not likely to have significant effects on the environment”.

 

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Business

MamGu Welshcakes earns B Corp certification

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A WELSHCAKE maker from Wales has joined a global movement of businesses recognised for high standards of social and environmental responsibility.

MamGu Welshcakes has announced that it has become a Certified B Corporation, also known as a B Corp.

The certification, verified by B Lab, recognises companies which meet standards covering social and environmental performance, transparency and accountability.

The assessment looks at a company’s operations across areas including governance, workers, community, the environment and customers. Businesses must also legally embed a commitment to purpose as well as profit.

MamGu Welshcakes now joins more than 10,700 B Corps globally, including more than 2,700 in the UK. Well-known certified businesses include The Guardian, Innocent Drinks, Patagonia, The Big Issue, Finisterre, Elemis and Sipsmith Gin.

The company says it is only the 13th food and drink producer in Wales to receive B Corp certification.

Chris Turner, CEO of B Lab UK said: “We are pleased to have B Corps of all shapes and sizes as part of our community – from startups to multinationals and across many different industries.

“Business is a powerful force and B Corps demonstrate that positive impact is possible in any sector. Welcoming MamGu Welshcakes is an exciting moment for the food and drink industry.

“B Lab UK and the rest of the B Corp community are really pleased that MamGu Welshcakes is paving the way for a new way of doing things.”

Sam Swift, director of MamGu Welshcakes said: “From day one we have always strived to be a business rooted in the community and we’re over the moon to now achieve B Corp certification.

“It’s a clear and rigorous standard that holds us accountable for how we do business; from supporting our people and communities to reducing our environmental impact.”

He added: “B Corp is not just a badge and certainly not the finish line, in fact we see this moment as a new baseline for everything we do next.

“We’re already looking at ways we can be better at everything, from who we work with to the ingredients we use and where they come from.”

B Lab is a non-profit organisation which says it is working to transform the global economy to benefit people, communities and the planet.

 

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Business

Milford Haven energy scheme backed despite local concerns

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PLANS for a micro energy storage facility ‘battery box’ scheme in a Pembrokeshire town have been given the go-ahead, despite local objections including the town council.

In an application to Pembrokeshire County Council, AMP Clean Energy sought permission for a micro energy storage project on land between Steynton Road and Sheffield Drive, Milford Haven.

A supporting statement accompanying the application said the battery boxes import electricity from the local electricity network when demand for electricity is low or when there are high levels of renewable energy available, exporting it back during periods of high demand to help address grid reliability issues prompted by an increase of intermittent (wind and solar) generation.

AMP Clean Energy says it is developing up to 1,250-plus Battery Boxes in the UK over the next three years.

It says each box, which takes up roughly two car parking spaces, stores 800kWh of electricity, giving the potential to power 200 homes for four hours where there is a supply disruption.

The battery box schemes are part of a raft of applications in the county; AMP has gained approval for similar schemes on land between King Street and Meyrick Street, Pembroke Dock and land in between Castle Quarry and Haven Court, Pembroke, on a verge at the Bridge Innovation Centre, Pembroke Dock, and land to the south of Withybush Road, Withybush Industrial Estate, Haverfordwest.

However, a scheme for a micro energy storage project on land at Fishguard Leisure Centre Car Park, near Ysgol Bro Gwaun was refused by the council’s planning committee late last year after concerns were raised including being in “an unsafe, unsustainable and unnecessary location,” and the “nightmare scenario” of a fire as children were leaving the school, which was disputed by AMP’s agent.

For the latest Milford Haven scheme, 34 objections from members of the public were received, raising concerns including closeness to neighbouring properties, traffic congestion and safety during the construction phase, potential fire safety risks, noise and light pollution, landscape impact and impact on property values, and claims of an active covenant on the land.

Milford Haven Town Council had initially supported the scheme but later withdrew that backing, after the chair of the town council’s planning, policy and community committee Councillor Lee Bridges met with residents “deeply concerned about this application”.

“After hearing these concerns (which have been greatly researched and extensively detailed) Milford Haven Town Council would like to officially withdraw the recommendation made on March 3.”

However, an officer report for county planners recommended approval, saying the council public protection team and Mid and West Wales Fire and Rescue Service raised no objections, adding any active covenant on the land was not deemed a material planning consideration.

 

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