A call for Pembrokeshire Council to pursue a £1m loan to help fund the redevelopment of the ‘blight’ derelict former Wilko store in Haverfordwest, as part of wider redevelopment of the county town, has been backed.

A report for members of the March 16 meeting of Pembrokeshire County Council’s Cabinet, recommended for approval by Leader Cllr Jon Harvey, said: “The proposed project seeks to repurpose and redevelop the former Wilko building located on [2-6] Old Bridge, Haverfordwest, a large and prominently positioned commercial unit.

“The project will enable the revitalisation of one of Haverfordwest’s most strategically positioned commercial units located immediately adjacent to the new Haverfordwest Public Transport Interchange, on the main pedestrian route from the Interchange to the town centre.

“Pembrokeshire County Council, under Cabinet decision November 30, 2020, agreed the acquisition of Riverside Shopping Centre in Haverfordwest which includes the 2–6 Old Bridge and the Perrots Road Car Park.

“At the time of acquisition, the building was leased by Wilko, with this occupation ceasing when Wilko went into administration and the Haverfordwest store closed in September 2023.”

It added: “The building was in poor repair when returned from the outgoing tenant with limited ability to seek dilapidation costs as the tenant had gone into administration. The deteriorating roof and outdated internal configuration render it unsuitable for modern retail, commercial, or community use without significant investment.”

It went on to say: “The building’s current dereliction contributes to a blight at a key town access point. Funding would directly address these structural issues, unlocking the property’s potential and generating broader regeneration benefits for the town. High street anchor tenants attract significant footfall, with evidence showing that the majority of visitors subsequently engage with other shops.

“The preferred strategy is to secure such a tenant, creating a strong draw to the town centre and complementing surrounding uses. Even if a high street anchor is not achievable, there is credible interest in alternative commercial or community uses.”

It said an initial scoping stage “has identified a budget of circa £1.6m to undertake the required redevelopment works,” adding that the empty unit is currently costing the authority £125,000 a year annum in Business Rates, insurance and maintenance, along with a lost rental income of £150,000.

It said the council’s approved capital programme currently has £656,000 for the Riverside Phase 1/Eastern Quayside, and it was proposed that these funds are utilised, alongside an additional £1m funding source for 2-6 Old Bridge.

Cabinet Member for Young Persons, Community, Wellbeing and Future Generations Cllr Marc Tierney said: “The regeneration case on this particular property is really strong; if we don’t do anything the risk is we’re just holding on to another vacant property in Haverfordwest.”

Cabinet Member for Housing Cllr Michelle Bateman said the proposal was part of “a bigger picture” of regeneration in the town, with Cabinet member for finance Cllr Alistair Cameron pointing out the loan, if approved, would be “interest-free” to the council.

Cllr Harvey said: “I think we just have to do this, if we don’t we won’t get a major retailer in; this will really increase the retail offer in Haverfordwest , we’re spending a lot of money in Haverfordwest – grant-aided – and the town centre is in quite a reasonable situation.

“It’s really positive; in two-to-three-to-five years Haverfordwest will be a more vibrant place than it is today.”

Members backed a recommendation to submit a call for £1m from Town Centre Loan funding for the works, adding that to the current capital programme allocation, totalling £1.656m.

If the funding call is not successful, a future Cabinet meeting will hear alternative recommendations.