Propertymark has voiced its support for the Welsh Government’s Transforming Towns Loans programme, which has invested over £62m since its launch in 2014 to aid local councils with town and city centre regeneration projects.
Welsh Cabinet Secretary for Housing and Local Government Jayne Bryant has made £10m in Financial Transaction Capital available for regeneration schemes across Wales.
The programme aims to reduce the number of vacant and underutilised sites and buildings, diversify town centre offerings, and increase footfall.
The funding also encourages more sustainable uses for empty properties, such as leisure, and seeks to prevent the relocation of activities to edge-of-town developments.
While Propertymark agrees with the programme, it recommended that the Welsh Government investigate why commercial properties are becoming vacant.
On 2nd December 2024, new regulations in England will enable the auction of leases for persistently empty high street shops under the High Street Rental Auctions powers of the Levelling Up and Regeneration Act 2023.
The UK Government believes this will contribute to its strategy for town centres, which includes protecting small businesses from inflationary increases in business rates and a commitment to reduce business tax rates for retail, hospitality, and leisure properties permanently from 2026-27.
Propertymark said it hopes the Welsh Government will find ways to give local authorities a greater role in repurposing vacant commercial properties for local needs.
Tim Thomas, policy and campaigns officer at Propertymark, said: “Propertymark welcomes the continued investment for the Welsh Government’s Transforming Towns Loans programme, which has invested over £62m in converting sustainable uses for empty premises, such as leisure, key services and conversion to town centre residential development to naturally boost footfall in town centre spaces.
Thomas added: “However, the Welsh Government must do more to understand the root causes of why commercial property is becoming vacant alongside the introduction of measures that give local authorities a stronger role in tackling empty commercial properties.
“They must also consider support packages such as business rates relief and improving local infrastructure.
“Above all, the Welsh Government must engage with commercial property agents, who have the best understanding of the communities where they live and work.”
