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Scarlets in the red

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Scarlets accounts reveal debt crisis

Scarlets accounts reveal debt crisis

THE ANNUAL accounts of the regional rugby company show that it incurred a loss of over £1.7m in the year to June 2014 and that Scarlets Regional Ltd now has a cumulative deficit of over £14m.

In addition, the report shows that the Scarlets are barely half-filling their stadium for home games. Parc y Scarlets capacity is 14,870. Average attendance at home games is recorded as being ‘over 7,000 per game’.

In light of the appalling figures, the accounts go on to set out that the region’s continued operation is possible only with the support of the WRU (through payments made to the region) and the continued willingness of shareholders to plough money into it. The region recently made what amounted to a debt for equity swap, by which larger shareholders increased their own holdings at the expense of small shareholders. The rights issue conditions also provided that first preference in any other offering would be given to those larger shareholders and not to supporters. While the Directors’ report is upbeat on the prospect of the future of the Scarlets region, much of that confidence stems from the agreement with the WRU continuing and the Scarlets providing sufficient international players who qualify to receive dual contracts from the Welsh governing body. The accounts reveal that the region spent £200,000 on battles with the WRU over the level of support offered to regional rugby and the dual contract issue.

More worrying, however, is the conclusion reached by the auditor – James & Uzzell Ltd. The auditor’s comments on the accounts point out ‘the existence of a material uncertainty which may cast significant doubt about the company’s ability to continue as a going concern’. The stadium, construction of which was largely bankrolled by the local authority, is given a ‘carrying value’ (the original cost of an asset, less the accumulated amount of any depreciation) of around £9.9m.

A particular thorny matter for the local authority is the fate of the Scarlets involvement in the Eastgate Centre, into which further considerable resources were ploughed by the authority.

Way back in December 2013, The Pembrokeshire Herald published details of the sale of a car park to the Marston’s chain of pubs. Carmarthenshire Council were the freeholders of the property while the Scarlets held a 150 years’ leasehold on it granted by the Council. The car park was originally ear-marked for a retail development, but instead was transferred to Marston’s for £850,000.

Controversy then arose in relation to the division of the sale proceeds between the Council and the Scarlets. The council received £200,000 for its interests and the Scarlets £200,000. Questions have been raised, however, about approximately £280,000 being given to the Scarlets for what are described as ‘allowable expenses’. The ‘expenses’ were allegedly used for paying off a commercial loan the Scarlets had taken out to fit out its shop and restaurant within Carmarthenshire County Council’s Eastgate development and were a further example of the council’s willingness to bankroll the rugby region with public money.

The Scarlets’ accounts disclose that the £280,000 ‘investment’ by the council in the Scarlets’ project at Eastgate has been written off as a complete loss by the region, who have also sublet the shop units. The region’s accounts imply that without the free rent period, which is coming to an end, the lease is not commercially viable.

Eastgate has never been fully let since opening.

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Detectives ask for help following an assault outside a Llanelli bar

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DETECTIVES from Dyfed-Powys Police are looking to speak to several men to help with its enquiries following an assault outside a Llanelli bar.

At around 3am on Monday, 29 August, a man was attacked outside the Met Bar in Station Road. He was left with a fractured eye socket, cuts and bite marks.

Anyone with information that could help officers with their investigation is asked to report it to Dyfed-Powys Police, either online at https://bit.ly/DPPContactOnline, by emailing 101@dyfed-powys.police.uk, or by calling 101. If you are deaf, hard of hearing, or speech impaired text the non-emergency number on 07811 311 908. Alternatively, contact the independent charity Crimestoppers anonymously by calling 0800 555111, or visiting crimestoppers-uk.org. Quote reference: DP-20220829-062.

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Prince and Princess of Wales to visit Wales

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THE PRINCE and Princess of Wales have planned a trip to Wales to visit a variety of communities across the nation and learn about the work of key charitable organisations. 

The Prince and Princess have a deep affection for Wales, having made their first family home in Anglesey, and have thoroughly enjoyed their previous visits and the warmth and kindness shown by the Welsh people. 

Their Royal Highnesses are looking forward to spending more time in Wales over the next few years, they hope to strengthen their relationship with communities in all parts of Wales. 

During their first engagement, Their Royal Highnesses will visit the RNLI Holyhead Lifeboat Station, where they will meet crew, volunteers and some people who have been supported by their local unit.

Holyhead is one of the three oldest lifeboat stations on the Welsh coast and has a remarkable history of bravery, having received 70 awards for gallantry. 

Their Royal Highnesses will then take a short walk to the Holyhead Marine and Cafe Bar, where they will meet local people, including representatives of small businesses and organisations, including the Coastguard and Sea Cadets. 

In their second engagement, the Prince and Princess of Wales are expected to visit Swansea. 

Their Royal Highnesses will visit St Thomas Church, a re-developed church in Swansea which supports people in the local area and across the City and County of Swansea. 

Over the last two years the church has been transformed into a thriving community hub and is home to a vast array of services, including:

  • A foodbank which supports over 200 people per week
  • Swansea Baby Basics which distributes essential items for vulnerable mothers across the city, such as toiletries and clothes
  • Facilities for the homeless including food, showers and toilets
  • A not-for-profit cafe and community training kitchen
  • A surplus food distribution network which collects food from supermarkets at the end of each day and distributes it from the church to prevent food waste and to help end food poverty

As part of their visit, Their Royal Highnesses will meet those volunteering at the church across different initiatives including Baby Basics and the foodbank. Their Royal Highnesses will also spend some time meeting members of the public gathered outside the church. 

The Princess of Wales has previously worked with Baby Banks and the in summer of 2020 brought together 19 British brands and retailers to donate over 10,000 new items to more than 40 baby banks nationwide, operated by Baby Basics, Little Village and AberNecessities. 

Her Royal Highness has visited a number of baby banks across the UK, including in London, Sheffield and West Norfolk where she has spent time speaking with families about their experiences of using their local baby bank services, as well as helping unload donations. 

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Road closed after man suffers serious injury in Burry Port

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OFFICERS from Dyfed-Powys Police are investigating after a man suffered a serious injury in Station Road, Burry Port.

Officers were called to a report that the man had suffered an injury at around 10.45pm on Saturday, 24 September. He has been taken to hospital.

A 39-year-old man was arrested at the scene on suspicion of assault. He remains in police custody.

A road closure is in place for scene preservation and is likely to remain for a number of hours.

Anyone with information that could help officers with their investigation is asked to report it to Dyfed-Powys Police, either online at https://bit.ly/DPPContactOnline, by emailing 101@dyfed-powys.police.uk, or by calling 101. If you are deaf, hard of hearing, or speech impaired text the non-emergency number on 07811 311 908. Alternatively, contact the independent charity Crimestoppers anonymously by calling 0800 555111, or visiting crimestoppers-uk.org. Quote reference: DP-20220924-360.

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