A scheme to build 38 affordable and social housing units on the site of a fire-ravaged former Pembroke Dock hotel has been backed by senior Pembrokeshire councillors.

Pembrokeshire County Council’s Cabinet, meeting on April 22, supported a contract with developer Castell Group Ltd for the mix of affordable homes and social housing units at the Cleddau Bridge Hotel site.

Members, in a report presented by Cabinet Member for Planning & Housing Delivery Cllr Jon Harvey, heard Castell had approached the council’s housing service to determine whether there is an interest in working with them to bring forward the development as a social/affordable housing site.

Castell Construction Ltd specialises in the construction of affordable / social housing, typically for registered social landlords across south Wales, and hopes to build 12 one-bedroom flats, 15 two-bed houses, five three-bed, two four-bed, and four two-bed bungalows.

The development package would be part-funded from the housing revenue account, the remainder from the Social Housing Grant and/or second homes premium for affordable housing if it becomes available for the Housing Service to use in this manner.

Cllr Harvey – who moved approval – said the scheme was expected to provide £230,000 a year in rentals income, describing it as “an excellent opportunity to work with a proven developer for extra social housing in an area of proven need.”

Deputy Leader Cllr Paul Miller said he was supportive of the scheme, as was local member County Councillor Joshua Beynon, saying: “It’s a bit of an eyesore at the moment, if we can bring this site back into meaningful use, and in an area where there is a need, I’m all in support of this.”

Members backed senior officers be delegated powers to enter into the works contract, and to have powers to proceed with the land acquisition.

If a subsequent planning permission is secured for the site, the homes could be built by autumn 2026.

In a prime location at one of the entrances to Pembroke Dock, the former hotel has been derelict since a fire in March 2019, which brought emergency services from as far afield as Ammanford, Aberystwyth and Swansea.