Business
HSBC fined £57m for ‘serious failings’ over customer deposit protection
HSBC has been fined £57m by the Bank of England’s financial stability arm for failing to protect customer deposits in the event of a banking collapse.
It is the second-highest fine imposed by the Bank’s Prudential Regulation Authority (PRA) and reflects the seriousness of the failings, the watchdog said. The highest fine was £87m, imposed on Credit Suisse last July.
HSBC – which shut down 12 of its branches in Wales last year – failed for many years to properly implement the requirements set out in the depositor protection rules, the PRA said. The failings occurred between 2015 and 2022. The fine was imposed on two UK subsidiaries of HSBC Holdings, which are deemed to have the “capacity to cause significant disruption to the UK financial system if they were to fail”.

The bank failed to accurately identify deposits that were eligible for Financial Services Compensation Scheme (FSCS) protection, which insures deposits if a bank collapses.
HSBC lacked “adequate systems and controls, and governance” necessary to enable FSCS to make prompt payments to depositors in the case of a banking collapse, the PRA said. It added that the failings had “materially undermined the firm’s readiness for resolution”.
The PRA said the bank failed to alert the regulator about problems identified in the incorrect marking of accounts as eligible for FSCS protection over 15 months.
HSBC also breached other rules that state that lenders must prepare for resolution with a minimum disruption of critical services in the event of a banking collapse.
Sam Woods, the PRA chief executive and deputy governor for prudential regulation at the Bank of England, said: “The serious failings in this case go to the heart of the PRA’s safety and soundness objective. It is vital that all banks comply fully with our requirements around preparedness for resolution.
“HSBC Bank plc fell far short of its obligations in this area, and failed to disclose its failings to us in a timely manner. These failures led to today’s action, including the significant fine.”
The bank cooperated with the regulator throughout the investigation and agreed to resolve the matter, which meant the fine was reduced; otherwise it would have been £96.5m.
The PRA said HSBC failed to assign a senior manager to the resolution processes required in the event of a banking failure. HSBC Bank plc, the non-ringfenced part, also incorrectly marked 99% of its eligible deposits as “ineligible” for FSCS protection.
HSBC said it was “pleased to have resolved this historic matter, which relates to the bank’s compliance with certain parts of the PRA’s depositor protection rules.
“The PRA’s final notice recognises the bank’s cooperation with the investigation, as well as our efforts to fully resolve these issues. We continue to remain focused on serving our customers.”
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.
Business
Wolfscastle spa earns prestigious AA recognition
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.

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.
Business
Pembroke South Quay boat shed expansion plans submitted
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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