Propertymark has voiced its support for the Welsh Government’s Transforming Towns Loans programme, which has invested over £62 million in town and city centre regeneration projects since its launch in 2014.
The initiative aims to revitalise urban spaces, reduce the number of vacant properties, and diversify the appeal of Welsh town centres to boost footfall.
The programme received a significant boost with Welsh Cabinet Secretary for Housing and Local Government, Jayne Bryant, announcing an additional £10 million in Financial Transaction Capital to fund further regeneration schemes across the country.
A key focus of the programme is encouraging sustainable uses for empty premises, such as leisure facilities, to counter the shift of activity to out-of-town developments. These efforts are expected to breathe new life into underutilized sites, making Welsh towns more vibrant and economically resilient.
DIG DEEPER
While supporting the scheme’s objectives, Propertymark has urged the Welsh Government to dig deeper into the underlying reasons for commercial property vacancies.
The organization highlighted recent measures in England, where the High Street Rental Auctions powers under the Levelling Up and Regeneration Act 2023 came into effect on 2 December 2024. These regulations allow local councils to auction leases of persistently vacant high street properties, a strategy aimed at revitalizing town centres.
The UK Government has also introduced measures to support small businesses, including protection from inflationary increases in business rates and a permanent reduction in business tax rates for retail, hospitality, and leisure properties starting in 2026-27.
Propertymark is calling on the Welsh Government to consider giving local authorities a more robust role in repurposing vacant commercial properties to meet local needs. By empowering councils, they argue, Wales could accelerate its transformation of town centres into thriving community hubs.
MUST DO MORE
Tim Thomas, Policy and Campaigns Officer at Propertymark, says: “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.
“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.”
